Closing Recap 

U.S. stocks sold off sharply as trade, economic, and Fed policy uncertainty weighed heavily on sentiment; gold surged to another record high, the dollar plunged to multi-year lows, oil retreated, and Treasury yields climbed despite the risk-off mood.

Key Takeaways 

• Sharp Stock Sell-off: Major indices bled lower most of the day, finishing down significantly (Dow -2.5%, S&P 500 -2.4%, Nasdaq -2.6%). 
• Trump Escalates Fed Attacks: President Trump intensified criticism of Fed Chair Powell, demanding immediate rate cuts and calling him a “major loser.” 
• Persistent Uncertainty: Investor anxiety remains high regarding tariffs, the lack of announced trade deal progress, the economy, and the Fed’s path. 
• Gold Hits New Record High: Safe-haven demand propelled gold prices above $3,400/oz to new all-time highs. 
• Dollar Crushed: The U.S. Dollar Index fell sharply again, hitting multi-year lows against major currencies. 
• Yields Rise Despite Risk-Off: Treasury yields climbed, finishing near session highs, diverging from typical safe-haven flows into bonds. 
• Oil Declines: Crude prices fell on persistent trade war-related demand concerns.
• Busy Earnings Week Looms: Focus shifts to a heavy slate of Q1 earnings reports this week, including tech giants. 

Market Overview 

U.S. equity markets endured a broad and significant sell-off today, extending the recent pattern of sharp declines driven by persistent investor anxieties. Stocks bled lower for most of the session with minimal bounces until the final hour, reflecting deep-seated concerns about the intertwined impacts of tariffs, potential trade deals (or lack thereof), the overall economic trajectory, and Federal Reserve policy. Sentiment remains bleak, as indicated by recent investor surveys showing extreme fear. 

Index	Up/Down	% Change	Last
DJ Industrials	-971.82	-0.0248	38170
S&P 500	-124.5	-0.0236	5158
Nasdaq	-415.55	-0.0255	15870
Russell 2000	-40.3	-0.0214	1840

Adding fuel to the fire, President Trump significantly escalated his public attacks on Federal Reserve Chair Jerome Powell via Truth Social this morning. He dismissed inflation concerns, cited falling costs, and demanded immediate, preemptive interest rate cuts, harshly criticizing Powell as being “Too Late” and a “major loser.” This public pressure on the central bank adds another layer of uncertainty for investors already grappling with the opaque trade situation. While talks with various countries have reportedly occurred, the absence of concrete, publicly announced deals is weighing on sentiment, contributing to the dollar’s plunge and the flight to safety assets like gold. 

The cross-asset movements today were particularly noteworthy. While stocks sold off sharply (risk-off), Treasury yields paradoxically rose, finishing near the highs of the day. This divergence suggests bond market participants may be focused on factors other than immediate safe-haven demand, possibly inflation fears (despite Trump’s claims), supply concerns, or reacting negatively to the pressure being placed on the Fed. Meanwhile, the U.S. dollar was crushed, hitting multi-year lows against currencies like the Euro and Yen, reflecting a loss of confidence potentially linked to the trade policies and Fed uncertainty. Gold benefited immensely, soaring to new records, while oil prices retreated on global growth fears. Investors now brace for a heavy week of earnings, keenly watching for corporate guidance amidst the difficult macro backdrop.

Economic Calendar

No major U.S. economic data releases were scheduled for today. Investor focus shifts to the heavy slate of corporate earnings reports due this week. 

• Today’s Calendar: None impacting market significantly. 
• Key Events: Monitoring ongoing trade developments and Fed commentary (none scheduled today). 

Commodities, Currencies, and Treasuries

Gold prices surged spectacularly, adding nearly $97 (+3%) to settle at a new record high of $3,425.30 per ounce (hitting $3,442 intraday). The rally was driven by intense safe-haven demand fueled by the escalating trade war rhetoric, economic uncertainty, and a sharply falling U.S. dollar, making gold cheaper for foreign buyers. Crude oil prices retreated, with WTI falling 2.47% to settle near $63.08/bbl. Concerns about the impact of the U.S.-led trade war on global energy demand dominated sentiment, overshadowing any potential supply tightness. Signs of progress in U.S.-Iran talks also potentially eased supply worries. Natural gas continued its decline to multi-week lows. The U.S. dollar index plummeted, hitting over a three-year low as confidence waned. The Euro surged, and the dollar weakened significantly against the Yen and Swiss Franc. Longer-dated Treasury yields rose despite the risk-off stock market, with the 10-year yield climbing about 8 basis points to finish near 4.41%, defying typical safe-haven bond buying, possibly due to inflation worries or reaction to attacks on the Fed.

Asset	Up/Down	Unit / % Change	Last
WTI Crude	-1.6	USD/bbl	63.08
Brent	-1.7	USD/bbl	66.26
Gold	96.9	USD/oz	3425.3
EUR/USD	0.0122	USD	1.1513
USD/JPY	-1.46	JPY	140.71
10-Year Note	0.084	%	0.04411

Looking Ahead 

The market remains highly volatile and focused on trade policy uncertainty and the increasingly fraught relationship between the White House and the Federal Reserve. Any further trade escalations or comments regarding Fed independence could significantly impact markets. This week brings a deluge of Q1 earnings reports from nearly 120 S&P 500 companies, including key tech names like Tesla (TSLA) and Google (GOOGL). Corporate guidance will be critical, particularly commentary on tariff impacts and the economic outlook. Investors will also monitor upcoming economic data for further clues on growth and inflation.