US stocks opened the second quarter with a mixed yet volatile session on Tuesday, as investors braced for a major policy announcement from the White House. The S&P 500 rose 0.38% to 5,633.07, recovering from earlier losses to notch a modest gain. The Nasdaq Composite added 0.87%, closing at 17,449.89, while the Dow Jones Industrial Average slipped slightly, down 11.80 points to 41,989.96.
Tuesday’s session continued the whipsaw pattern seen at the start of the week. At one point, the S&P 500 was up 0.7%, only to fall nearly 1% before recovering late in the day.
Tariff uncertainty looms large
Markets remain heavily focused on President Donald Trump’s expected announcement of new trade tariffs. The White House is set to unveil reciprocal levies on Wednesday, potentially applying duties to goods from nearly all US trading partners. Officials have said the measures will take effect “immediately” once announced.
The Washington Post reported that a 20% blanket tariff on most imports is under consideration, though final details remain undecided. The lack of clarity has fuelled market swings and kept investors cautious.
Weaker economic data adds pressure
Tuesday’s market action also reflected concerns about economic momentum. The Institute for Supply Management reported weaker-than-expected manufacturing activity, while February job openings missed estimates, according to the Bureau of Labor Statistics.
Sector performance and broader outlook
Despite macro uncertainty, the consumer discretionary sector outperformed. Tesla climbed 3.6%, and Nike rose 2%. But with the S&P 500 down 4.6% last quarter and the Nasdaq off 10%, investor sentiment remains fragile.
Commodities and the dollar
Spot gold is flat at US$3,113.31 an ounce.
Brent crude is trading at US$74.41 a barrel.
One Australian dollar is buying 62.77 US cents.
Futures
The SPI futures are pointing to a 28 point rise.
