Here's Why the Next 2 Months Could Be a Make-or-Break Moment for the Stock Market
Investors are searching for clarity, and they could get a lot of answers soon.
The first quarter of 2025 was quite a roller coaster for investors.
After the S&P 500 (SNPINDEX: ^GSPC) hit a new all-time high in mid-February, the benchmark index fell for four weeks straight, quickly dropping into correction territory. While stocks recovered somewhat by the end of March, the widely followed index ended the quarter down 4.6%. The tech-heavy Nasdaq Composite index fared far worse, dropping more than 10% through the first three months of 2025.
The steep drop in stock prices is in line with declining consumer sentiment. With inconsistent trade policies from the current administration, everyone is on edge about inflation and unemployment. All of this is weighing on expectations for GDP and corporate earnings this year.
