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Next Day Prep EP2 Bearish

Next Day Prep: Tariff Tumult & Earnings Kick-Off Tomorrow – Monday 4/07/2025

April 8, 2025 16:05
Tickers Mentioned
LEVIDALNEOGSMPLSTZPSMTUPCYANGNWTGFXP
Episode Summary
Markets turned sharply lower with S&P falling 1.6% below 5000 on tariff concerns and weak bond demand. Mega-caps and chips sold off despite early rally. Traders eyeing inverse ETFs and select breakouts amid volatility.
Key Takeaways
  • S&P closed below 5000, down 1.6% amid tariff concerns
  • Mega-caps and chipmakers experienced significant sell-offs during session
  • Levi Strauss beat EPS but stock pulled back on tariff worries
  • Consider inverse leveraged ETFs like TZA as hedging opportunities
  • Monitor upcoming economic data and earnings for market direction
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Next Day Prep: Tariff Tumult & Earnings Kick-Off Tomorrow

A quick analysis of today’s market outlook and key trading opportunities to start your day.

Intro & Market Mood

Today’s market was characterized by intense volatility driven by the tariff situation. The S&P 500 saw a 400-point swing, causing uncertainty across all sectors. With the Nasdaq down over 19% year-to-date and the S&P 500 nearing a bear market, traders are navigating turbulent waters.

Overnight Headlines

  • TJX hitting all-time highs, potentially due to reduced exposure to Chinese tariffs
  • Consumer credit declining for the third time in four months, signaling economic caution

Economic Announcements

Market watchers should closely monitor any new tariff-related headlines from China, as well as the upcoming earnings season kick-off with the banks.

Earnings Highlights

The earnings season beginning with the banks later in the week is expected to reflect caution and uncertainty amid the current economic climate.

Top Movers

  • Apple considering price hikes on iPhones to counter tariffs and diversifying sources away from China
  • Amgen facing challenges with a drug being pulled from the European market

Quick Trade Ideas

Traders should keep a close eye on tariff developments, earnings reports, and particularly Apple as a market bellwether signaling broader sector movements.

Key Takeaway

Stay informed on tariff updates, monitor earnings releases, and remain agile in navigating market uncertainties.

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