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US markets close sharply lower amid concerns about US trade policies

17 Apr 2025 Evaluate

The US markets closed lower on Wednesday with substantial selling pressure has been seen in Nasdaq as Nvidia shares plunged 6.9 percent after the company indicated that its first quarter results are expected to include up to around $5.5 billion of charges associated with its H20 integrated circuits made the investors nervous. Dutch chipmaker ASML also tumbled by 7.1 percent after warning of increased uncertainty around its outlook for 2025 and 2026 due to U.S. tariffs. Further downside came, traders took cautious approach as Federal Reserve Chair Jerome Powell signalled a wait and see approach and push back investors optimism about early rates. Meanwhile, market participants ignored the host of U.S. economic data, including a Commerce Department report showing a sharp increase by retail sales in the month of March. A separate report released by the Federal Reserve showing industrial production decreased by slightly more than expected in March due to a steep drop by utilities output.

On sectoral front, substantial weakness has been seen in semiconductor stocks amid the slumps by Nvidia and ASML, resulting in a 4.1 percent nosedive by the Philadelphia Semiconductor Index. Considerable weakness also emerged among software stocks which saw Dow Jones U.S. Software Index plunged by 3.1 percent. Brokerage stocks also showed a significant move to the downside, dragging the NYSE Arca Broker/Dealer Index down by 2.3 percent.

Dow Jones Industrial Average slumped 699.57 points or 1.73 percent to 39,669.39, Nasdaq plunged 516.01 points or 3.07 percent to 16,307.16 and S&P 500 tumbled 120.93 points or 2.24 percent to 5,275.7.



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MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

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