Stock Market Today: Stocks end mixed on CPI relief, as trade war concerns linger
Tech stocks rebound as investors react to a better-than-expected inflation report.
Updated at 4:37 PM EST by Rob Lenihan
Stocks ended mixed Wednesday, as investors picked through a key inflation reading that could provide an early indication of the impact of President Donald Trump's trade and tariff policies.
The Dow Jones Industrial Average lost 82.55 points, or 0.2%, to finish the session at 41,350.93, while the S&P 500 gained 0.49% to close at 5,599.30 and the tech-heavy Nasdaq added 1.22% and end the day at 17,648.45.
Jeff Buchbinder, chief equity strategist with LPL Financial, said the S&P 500 has had at least one 10% correction in 64% of years since 1928.
“With no corrections in 2024, we were probably due for one, especially considering all the good news that was priced into stocks coming into this year,” he said.
“Knowing these corrections tend to come every year may not make you feel that much better in the moment," he added. "But when you consider that stocks have averaged a 13% annual return since 1980 despite the volatility along the way, measured by the S&P 500, the message is clear.”
"Be patient, stay invested, and most importantly, don’t panic," Buchbinder said.
Hey, Siri ...
Apple (AAPL) shares extended their recent slump, pulling the stock some 17% south of its mid-December peak, following a price target cut from Morgan Stanley analyst Erik Woodring.
Woodring, who lowered his price objective to to $252 per share, said the likely delay of the tech giant's update to is Siri digital assistant will likely blunt iPhone sales this year and next.
Apple shares were last marked 1.66% lower at $217.18 each, a move that pegs their year-to-date decline at around 11%.
Related: Top analyst overhauls Apple stock price target amid key iPhone challenge
Updated at 11:31 AM EST
Deal boost
Nvidia (NVDA) shares are powering higher in early trading, rebounding from the seven-month low the stock touched yesterday, amid new reports linking the AI chipmaker to a joint venture with Intel (INTC) and Taiwan Semiconductor.
TSMC, as its commonly known, has approached Nvidia, as well as rivals Advanced Micro Devices (AMD) and Broadcom (AVGO) , for a stake in the proposed chip foundry venture with Intel, according to Reuters, with Qualcomm (QCOM) also part of the overall pitch.
Nvidia shares were last marked 5.2% higher on the session at $114.41 each, with Broadcom up 2.8% and AMD up 2.7%.
Related: Intel stocks leaps on report tied to Nvidia and Broadcom
Updated at 10:20 AM EST
Canada hits back
Stocks pared some earlier gains after Canada unveiled retaliatory tariffs on around $20 billion worth of U.S goods, including steel and aluminum products, following President Trump's imposition of levies yesterday.
Foreign Minister Mélanie Joly said the country couldn't 'idly stand by" while the U.S. "attack" the steel and aluminum industry. More than half of the aluminum imported into the United States comes from Canadian sources.
The Bank of Canada, meanwhile, lowered its benchmark lending rate by 25 basis points, to 2.75%, as part of a counter-tariff measure to prop-up the domestic economy.
"We ended 2024 on a solid economic footing. But we're now facing a new crisis," Bank of Canada Governor Tiff Macklem told reporters in Ottawa. "Depending on the extent and duration of new U.S. tariffs, the economic impact could be severe. The uncertainty alone is already causing harm."
The S&P 500 was last marked 22 points, or 0.4% higher on the session, with the Nasdaq up 184 points, or 1.06%.
#BREAKING: Canada is hitting back at the United States with additional counter-tariffs worth $29.8 billion in response to new duties on Canadian steel and aluminum as a trade war escalates.https://t.co/67xwul5Cqt— Global Calgary (@GlobalCalgary) March 12, 2025
Updated at 9:34 AM EST
Inflation relief
The S&P 500 was marked 56 points, or 1.02% higher, in the opening minutes of trading, with the Nasdaq rising 276 points, or 1.58%.
The Dow gained xxx points while the mid-cap Russell 2000 index rose 21 points, or 1.08% following the softer-than-expected February inflation report.
"One reassuring inflation report won’t be enough to undo all of the recent losses, but it could help kickstart a much-needed relief rally as the S&P 500 is on the verge of correction territory," said Bret Kenwell, U.S. investment analyst at eToro.
"As we entered 2025, investors’ main economic worry centered around reflation," he added. "But as the trade war continues to escalate and as economic policy uncertainty continues to rise, that worry has shifted from inflation to the labor market and the economy as a whole. In that respect, it will take more than a few reassuring inflation reports to ease investors’ worries."
S&P 500 Opening Bell Heatmap (Mar. 12, 2025)$SPY +1.02%
