Friday, February 7, 2025

Wall Street closes lower on trade war escalation, weak data

Wall Street closes lower on trade war escalation, weak data

By Abigail Summerville and Shashwat Chauhan

Fri February 7, 2025 4:44 PM

After a very brief and modest rally that lasted only ½ hour (the Dow at +110 at 10 a.m.), all three indexes quickly went downhill and it was a straight shot down all day with big 3-digit losses all around, all three breaking a 3-week winning streak. The much awaited jobs report showed 598,000 fewer jobs vs a forecast of 818,000 and the lowest consumer sentiment numbers in seven months reflects a fear of surging inflation, which consumers expect to rocket to 4.3% this year.  

With unemployment up to 4% now, the Fed now has new ammo for continuing to pause rate cuts. But the real disappointment came from Trump announcing today a whole new round of tariffs coming next week against a host of unknown countries. The VIX rose 6.6% to 16.3 and Expedia rose 17.3% after a good Q4. The jobs data now in, volume was right in line with the 14.91 billion average, coming in today at 15.06 billion. 

DJ: 44,747.63  -125.65      NAS: 19,791.99  +99.66      S&P: 6,083.57  +22.09        2/6

DJ: 44,303.40  -444.23      NAS: 19,523.40  -268.59     S&P: 6,025.99  -57.58         2/7

Fri 2-7-25 4:44 pm Wall Street closes lower on trade war escalation, weak data | Reuters


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