Date Published: March 31, 2025
March concluded with major US and global stock markets posting their worst quarterly performance in three years, driven by mounting anxieties over President Trump’s unpredictable trade policies and looming tariff announcements.
The S&P 500 closed March down 4.6%, while the Nasdaq 100 slumped 8.3%, marking their steepest quarterly declines since 2022.
Early in the month, optimism faded rapidly as the administration threatened expanded tariffs on vehicles, copper, pharmaceuticals, and a broad array of imports. Wall Street traded anxiously ahead of April’s “Liberation Day” policy deadline.
On March 26, new proposals for 25% duties on all automotive imports rattled auto shares—including Tesla and Nvidia, which each fell over five percent in a single session.
Defensive sectors outperformed growth stocks as investors rotated out of tech, banking, and industrial equities; staples and utilities led late-month gains.
Consumer confidence dipped sharply, but durable goods orders rose 0.9%, suggesting underlying resilience despite global volatility.
Traders watched as Trump reshuffled tariff priorities almost weekly, with after-hours rallies fueled by rumors of compromise. Late March brought slight stabilization: the Dow ended its worst month since the pandemic era, but rebounded on the final day as investors braced for the April jobs report.
Meanwhile, rivals eyed the US dollar’s wavering performance, speculating that more radical White House policy could favor alternative reserve currencies.