Thursday's Markets Update (March 13, 2025)

14 Mar 2025 by rate3

On Thursday, equities turned red due to new tariff threats, despite producer prices declining on a yearly basis, with the largest monthly fall since July 2024, led by vehicles and food.

World's Markets:

European industrial output stabilized after a 20-month streak of contraction, driven by a surge in intermediate goods (those used for the production of other goods), excluding energy. EU markets declined due to the refusal for a ceasefire and the threat of 200% tariffs on wine. France's GDP growth was revised to 0.7% from 0.9%, partly due to trade tensions (estimated cost = -0.1% of France's GDP).
Brazilian equities rose on local developments, including a legal victory regarding a tax infraction and positive quarterly reports from commodities companies, particularly Petrobras.
Indian indexes were down for the fifth consecutive session, led by declines in the auto, tech, and banking sectors, ahead of prolonged festive weekends.
Chinese markets were in the red for the second consecutive session, led by tech and AI, amid renewed pessimism about the CCP's 5% economic growth target.
Japanese stocks fell due to prospects of a BOJ rate hike, despite a surge in Mitsubishi Electric shares following the announcement of a 43.5 trillion yen government defense plan.
Mining production in South Africa continued its downward trend that began in 2024, as global demand—particularly from China—for resources fell. This decline was led by iron ore, platinum metals, and coal, while gold production rebounded in January.
Commodities and Currencies:

Gold reached a new ATH above 2,970, silver hit a 4-month high, and the dollar strengthened again due to geopolitical factors.
Crypto:

BTC, ETH, and SOL followed stocks into a downward spiral, raising concerns among some analysts who see signals of an upcoming bear market sparked by tariffs leading to an economic recession. Most, however, remain hopeful, believing that this is a temporary price adjustment that will pass as soon as tariffs are lowered or revoked.
The State Of Markets: In Red, almost all major global markets were down due to new tariff threats, an economic slowdown, and the refusal of a ceasefire deal.