Week 10 (March 3-9, 2025)
Summary of key economic events and trends
Week 10 (March 3-9,2025)
Here is a summary of key economic events and trends from the previous week:
U.S. Economic Developments
Slower Economic Growth: U.S. economic growth showed signs of deceleration, with softer consumer spending and declining consumer sentiment. Policy uncertainties, including tariffs and government cost-cutting, contributed to this slowdown.
Tariff Uncertainty: The U.S. administration imposed 25% tariffs on Mexico and Canada but postponed implementation until April 2. This has increased market uncertainty, with potential retaliatory tariffs from Canada, the EU, and others looming. The uncertainty surrounding these tariffs has unsettled financial markets. Last week saw the S&P 500 drop by 3.1%, while the Nasdaq fell by 3.45%. Consumer confidence has also declined sharply.
U.S. Trade Deficit: The latest U.S. trade deficit report, released on March 6, 2025, shows a record-high deficit of $131.4 billion in January 2025, up from a revised $98.1 billion in December 2024
Labor Market: February's jobs report showed 151,000 new jobs added, with unemployment ticking up slightly to 4.1%. However, federal layoffs are expected to dampen job growth in the coming months.
FED: Federal Reserve Chairman Jerome Powell delivered a speech on March 7, 2025, at the University of Chicago Booth School of Business 2025 U.S. Monetary Policy Forum in New York.The Fed is taking a patient approach, waiting for "greater clarity" on the impact of the Trump administration's policy shifts.Federal Reserve Chair Jerome Powell's comments reassured markets on Friday, helping indices recover slightly after earlier declines
AVGO: On Friday, March 7, 2025, Broadcom Inc. (AVGO) shares surged by 8.6%, closing at $194.96, following the release of its better-than-expected quarterly earnings report.
WBA: Walgreens Boots Alliance (WBA) experienced a significant increase in its stock price, rising more than 7%, following the announcement that it would be acquired by private equity firm Sycamore Partners in a deal valued at approximately $10 billion.
BJs: BJ's Wholesale Club Holdings (BJ) has experienced a significant surge in its stock price recently, driven by strong financial performance and strategic growth initiatives.
\ HPE: Hewlett Packard Enterprise (HPE) shares indeed experienced a significant decline last Friday, March 7, 2025, following the company's disappointing earnings report and outlook. The stock plummeted by 15.2%, which was even more severe than the 12.0% drop mentioned in the query.
TSLA: Tesla's stock has experienced a significant downturn, falling for seven consecutive weeks, marking the longest losing streak since the company went public 15 years ago.
MCD: McDonald's shares indeed hit an intraday record high on Friday, March 7, 2025, reaching $323.17.
Gold: Gold futures were down 0.3%, trading around $2,920 per ounce. This decline reflects investor caution amid mixed economic signals.
Bitcoin: Bitcoin's price has experienced significant volatility recently. After reaching a high of $91,700 earlier today, it has fallen to $82,049.05, reflecting a broader decline in cryptocurrency markets. This downturn follows President Trump's announcement of a U.S. Strategic Bitcoin Reserve, which fell short of investor expectations due to the lack of immediate large-scale government purchases of Bitcoin. The reserve will instead be funded through confiscated coins
