S&P 500 closes lower Thursday as Wall Street’s comeback attempt falters

 On Thursday, March 20, 2025, the S&P 500 concluded the trading session with a slight decline, reflecting the market's ongoing volatility amid economic uncertainties. The index decreased by 12.40 points, or 0.22%, closing at 5,662.89.

The Dow Jones Industrial Average experienced a marginal drop of 11.31 points (0.03%), ending at 41,953.32, while the Nasdaq Composite fell by 59.16 points (0.33%) to close at 17,691.63. 

Investors processed a mix of economic data and policy developments. The Federal Reserve's recent decision to maintain current interest rates, coupled with its projection of two potential rate cuts later this year, initially provided optimism. However, concerns about President Donald Trump's proposed tariffs and their implications for global economic growth tempered this sentiment. 

Economic indicators presented a mixed picture. Initial jobless claims slightly decreased to 223,000, suggesting a stable labor market. Additionally, existing-home sales exceeded forecasts, reaching 4.26 million units, indicating resilience in the housing sector. Conversely, manufacturing growth in the mid-Atlantic region showed signs of slowing, contributing to investor caution.​

Corporate earnings reports also influenced market dynamics. Accenture's stock declined by 7.3% due to concerns over reduced federal government spending impacting its revenue. Similarly, Gartner's shares fell by 6.8% amid apprehensions about decreased government contracts. In contrast, Darden Restaurants experienced a 5.8% increase in its stock price following favorable earnings reports, highlighting the varied performance across sectors. ​

Globally, markets reacted to central banks' decisions to hold interest rates steady amidst uncertainties stemming from U.S. trade policies. European indices, such as Germany's DAX and France's CAC 40, recorded declines, while Hong Kong's Hang Seng index dropped by 2.2%, reflecting widespread investor trepidation. ​

As Wall Street's attempt at a comeback faltered, market participants remain vigilant, closely monitoring economic indicators and policy developments to navigate the evolving financial landscape.