Wall Street extended its recovery today, with major indices posting back-to-back gains after a turbulent stretch of trading. The Dow Jones Industrial Average closed up 353 points, or 0.85%, finishing at 41,841, while the S&P 500 gained 0.64% to end at 5,675. The Nasdaq Composite added 0.31%, closing at 17,808.
This comes after a four-week market slump, triggered by economic uncertainty and shifting US trade policies. Investors appear to be buying back into the market, though analysts warn that volatility may not be over yet.
Retail sales report offers mixed signals
A key factor supporting today’s gains was the latest retail sales report. The Commerce Department revealed that retail sales rose 0.2% in February—below the expected 0.6% increase. However, when excluding autos, sales were up 0.3%, aligning with economists’ projections.
While the data suggests consumers remain engaged, the weaker-than-expected headline number adds to concerns about slowing economic momentum. Investors took the report as a sign that spending hasn’t collapsed, helping ease some of last week’s pessimism.
Tech stocks remain under pressure
Despite the broader market recovery, the Nasdaq remains in correction territory, down 11% from its recent peak. The index has been weighed down by ongoing uncertainty surrounding US trade policy and the impact of aggressive cost-cutting at major tech firms.
Technology stocks saw some relief on Friday, with a 2% rally, but volatility persists. Analysts suggest that further market adjustments may be needed before tech stocks regain stability.
Turning to Australia, the SPI futures are pointing to a 53 point rise.
