Tuesday Afternoon Coffee - Markets Update - 1 Apr 2025 - Markets Edge Up, Gold Hits Record as Investors Brace for Trump Tariff Reveal

Markets Update: Global equities ticked higher on Tuesday in a cautious trading session, while gold surged to yet another record and U.S. bond yields fell, as markets awaited further clarity on President Donald Trump’s promised “reciprocal tariffs,” set to be unveiled on April 2.

Global Markets Roundup: 1 Apr 2025

Trump has dubbed the day “Liberation Day,” sparking widespread uncertainty over the scope and scale of the measures. While the U.S. Trade Representative’s annual 397-page report on foreign trade barriers was released Monday, its influence on the final tariff blueprint remains unclear.

Wall Street Ends Higher, Led by Tech and Staples

After fluctuating earlier in the session, U.S. indexes finished in the green:

Dow Jones Industrial Average: +0.07% to 42,033.18
S&P 500: +0.34% to 5,630.81
Nasdaq Composite: +0.79% to 17,435.09

Gains in tech, communication services, and consumer staples offset losses in healthcare and financials.

European and Global Stocks Rebound

STOXX 600: +1.0%, snapping a profit-taking dip
MSCI World Index: modest gains, led by Europe and the U.S.

European industrials, financials, and tech stocks paced the recovery, with the STOXX 600 up 5.1% year-to-date.

Volatility Rises as Uncertainty Lingers

With volatility climbing across equity, bond, and currency markets, safe-haven flows intensified, pushing gold to a fresh record.

Economic Data Signals Slowing Momentum

ISM Manufacturing Index: returned to contraction territory in March
Job Openings (JOLTS): fell in February
Investors cite rising call volume and anxiety over economic outlook, according to SiebertNXT

Bonds Rally, Dollar Mixed on Global Risk Aversion

10-year U.S. Treasury yield: -10 bps to 4.15%
German 10-year Bund yield: +0.1 bps to 2.684%
Dollar Index DXY: -0.05%, worst Q1 performance in 9 years

Currency Moves:

USD/JPY: -0.43% to 149.30
USD/CHF: -0.20% to 0.882
EURUSD: -0.15% to $1.0801
AUD/USD: +0.50% to $0.6277, as the RBA held rates at 4.1%

Oil Steady, Gold at Fresh Record

WTI crude: +0.07% to $71.43/bbl
Brent crude: +0.05% to $74.73/bbl
Spot gold hit an all-time high of $3,148.88 before settling at $3,117.63, still up for the fourth straight session
Gold futures traded just below $3,130

Oil remains firm near five-week highs, bolstered by threats of secondary sanctions on Russian crude and Iran, but capped by worries that tariffs could dampen global demand.

Soft Commodities Rise on Supply Concerns

Soybeans (ZS1!): +16¾¢ to $10.31½/bushel, highest since March 6
Corn (ZC1!): +4½¢ to $4.61¾/bushel
Wheat (ZW1!): +4½¢ to $5.41½/bushel

Biofuel lobbying in Washington and wet weather forecasts supported grains. Meanwhile, cocoa rallied:

NY Cocoa (CCK25): +3.48%
London Cocoa (CAK25): +1.71%
Gains came after reports of slowing exports from Ivory Coast

Coffee recovered from early losses, while sugar prices were mixed amid better weather forecasts for Brazil’s sugar belt.

Looking forward refer to the economic calendar below to see the upcoming events scheduled for today and the rest of the week.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team