Monday's Markets Update (March 31, 2025)

01 Apr 2025 by rate3

On Monday, equities rebounded on technicals amid growing uncertainty surrounding the scale and scope of the April 2 tariffs, despite the Texas manufacturing activity index dropping to levels seen in July 2024, primarily due to a drastically deteriorating outlook. It was also noted that the Chicago business barometer showed economic contraction for the 16th consecutive month, though at the slowest pace since November 2023.

World's Markets:

Major European market indexes tumbled to a two-month low amid expectations of reciprocal tariffs that could target 'all countries.' Meanwhile, Italian consumer price inflation accelerated to its highest level in 18 months, while German inflation slowed to 2.2% (a six-month low).
Brazilian stocks fell, led by the mining sector, due to forthcoming tariffs and subdued GDP forecasts.
Japan's bond yields declined as investors sought safe-haven assets.
China's factory activity reached a one-year high, suggesting the effectiveness of Beijing's stimulus measures.
Commodities and Currencies:

Gold reached a new all-time high after Trump signaled broader tariffs starting April 2, while silver aimed for a 13-year high. Oil jumped in response to a 50% sanctions-tariffs threat. Tin soared to a three-year high following an earthquake in Myanmar (the 3rd-largest tin producer), which could cause delays in restarting production in Wa State (70% of the country's tin output).
Crypto:

BTC, ETH, and SOL are all in the red, continuing to remain in a bearish trend.
The State Of Markets: Mixed, American equities rebounded on technicals, while the rest of the world's stock indexes were in deep red on expectations of the April 2 tariffs.