Dow Jones Today: Stock Futures Surge as Market Looks to Rebound From Tariff-Fueled Sell-Off; Dow Poised to Jump 1,000 Points

Apr 8, 2025
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Stocks moved sharply higher Tuesday morning as volatile trading continues amid investor hopes that the Trump administration could reach deals with other countries on tariffs.

The Dow Jones Industrial Average was up 3.7%, a gain of about 1,400 points, about an hour after the opening bell, while the S&P 500 and tech-heavy Nasdaq Composite added 3.9% and 4.3%, respectively. The Dow and the S&P finished lower on Monday, while the tech heavy Nasdaq Composite inched higher in a wild trading session during which the major indexes swung between huge losses and big gains only to finish relatively unchanged.

U.S. stocks had their worst week in five years last week as investors reacted to President Trump’s plans to impose sweeping tariffs on almost every country, with some major trading partners, including China, Japan and the European Union subject to particularly high levies. The so-called “reciprocal” tariffs, which are due to go into effect tomorrow, are designed to restore competitive balance and bring manufacturing and jobs back to the U.S., though economists and investors worry that the import taxes could spark inflation and cause economic growth to stall.

Investors have been keeping close tabs on comments about the tariffs from Trump and other White House officials, who have given no indication that they’ll back off from their plans but are negotiating with Japan, South Korea and several other key trade partners. Market participants also are waiting to see how other countries respond to the tariffs, after China on Friday countered with retaliatory tariffs on imports from the U,S.

The yield on the 10-year Treasury note, which fell sharply last week as fears of a possible recession intensified, was at 4.24% this morning, up from 4.16% at yesterday’s close. The yield, which affects borrowing costs on all sorts of loans, notably mortgages, had fallen as low as 3.87% on Monday, near its lowest levels since October.

Mega-cap technology stocks were up across the board in early trading, led by chipmakers Nvidia (NVDA) and Broadcom (AVGO), which gained 7% and 8%, respectively. EV maker Tesla (TSLA) added more than 6%, while Apple (AAPL), Microsoft (MSFT), Alphabet  (GOOG), Amazon (AMZN) and Meta Platforms (META) all advanced more than 3%.

Among other noteworthy tech sector gainers, adtech company Applovin (APP), data analytics software company Palantir (PLTR) and chipmaker Marvell Technology (MRVL) each surged more than 9%.

Bank stocks, which have been hit hard amid concerns about a possible recession, were also recovering this morning. JPMorgan Chase (JPM) and Goldman Sachs (GS) were up 6% and 5%, respectively, while Bank of America (BAC) tacked on 4% and Citigroup (C) jumped 6%.

Health insurer stocks were on the rise after the federal government announced late yesterday that it would pay Medicare insurers more next year than previously expected. Humana (HUM) was recently up 12%, leading S&P gainers, while CVS Health (CVS) rose 10%. Elevance Health (ELV) and UnitedHealth Group (UNH) gained 5% and 8%, respectively.

Gold futures were up 1.7% at $3,025 an ounce, while West Texas Intermediate futures, the U.S. crude oil benchmark, rose 1.3% to $61.50 per barrel, after hitting a four-year low yesterday.

Bitcoin was trading at $79,600, up from an overnight low of $78,100. The digital currency slipped as low as $74,500 on Monday.

Watch These Supermicro Levels as Stock Continues Surging

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Super Micro Computer (SMCI) shares jumped in early trading Tuesday, adding to an 11% surge yesterday, as investors bid up the server marker’s stock after a few days of big losses during the broader market’s tariff-fueled sell-off.

Sentiment surrounding the stock likely received a boost from J.P. Morgan analysts who recently pointed out that the company would only need to increase its global prices by 4%, based on the portion of its hardware that would be affected by tariffs.

After gapping lower in late October, Supermicro shares oscillated within an orderly ascending channel until breaking down below the pattern’s lower trendline toward the end of last month.

Source: TradingView.com.

However, despite falling to its lowest level since early February last week, the stock completed a bullish engulfing pattern in Monday’s trading session, potentially forming a bear trap—a trading event that lures investors to sell upon a breach of major support before the price makes a sudden move higher.

What’s more, Monday’s buying coincided with the relative strength index (RSI) rallying from a reading of around 35, the same level the indicator bottomed at in early February before the stock roughly doubled over a two-week period.

Investors should watch major overhead areas on Supermicro’s chart around $48 and $63, while also monitoring vital support levels near $26 and $17.

The stock was up 6% at around $35 in recent trading.

Read the full technical analysis piece here.

Timothy Smith

Levi Strauss Says Tariff-Related Price Changes to be ‘Surgical’

1 hr 20 min ago

Shares of Levi Strauss (LEVI) jumped in early trading Tuesday before giving back those gains, a day after the denim giant reported better-than-expected first-quarter profit and gave a relatively upbeat outlook on the Trump administration’s new tariffs.

After the bell Monday, Levi’s reported quarterly adjusted earnings per share (EPS) of $0.38, above the $0.28 consensus forecast of analysts polled by Visible Alpha. The company generated $1.53 billion in revenue, in line with estimates.

Its Dockers business now is classified as “discontinued operations,” as Levi’s made the decision during the first quarter to pursue a sale of the brand after launching a review in October.

Levi’s CFO Harmit Singh said on Monday’s earnings call that the company expects “minimal impact” from tariffs on its second-quarter profit margins, as much of its inventory has already been imported. Singh said the tariffs could be a “significant challenge” later this year, but he and CEO Michelle Gass said they are “fluid” and could change, according to a transcript from AlphaSense.

Gass said any pricing adjustments due to the tariffs will be “surgical.” The company imports products from 20 countries into the U.S., and Gass said Levi’s has created a “task force” to evaluate ways to minimize the potential impacts of tariffs.

In a note following the earnings, JPMorgan analysts upgraded Levi’s stock to “overweight” from “neutral,” while also trimming the stock’s price target to $17 from $19. The analysts cut their price target because they believe tariffs will likely hurt profits this year, but said Levi’s should be able to mitigate an estimated 75% of the cost because of changes to its business since tariffs played a role in the first Trump administration.

Levi shares were little changed in recent trading, after surging about 15% at the open. The stock has lost about 21% of its value so far this year.

Aaron McDade

Humana Levels to Watch as Stock Surges on Medicare News

2 hr 32 min ago

Humana (HUM) shares jumped in premarket trading Tuesday after the federal government said it would pay Medicare insurers more next year than previously expected.

The Centers for Medicare & Medicaid Services (CMS) said payments for 2026 Medicare Advantage health plans run by private insurers will increase by 5.06% on average, more than the 2.83% the government initially proposed in January. The boosted rates will benefit health insurance giants such as Humana, which has grappled with rising medical expenses related to government-backed health plans.

Through Monday’s close, Humana shares had lost nearly 20% over the past 12 months, weighed down by increasing medical costs, downgraded Medicare offerings, and moderating membership signups. The stock rose 18% to $300 before the bell today.

Source: TradingView.com.

Since hitting their 52-week low last October, Humana shares have traded within a symmetrical triangle, a chart pattern indicating a period of consolidation before the price breaks out.

The stock broke down below the pattern in Monday’s trading session before staging an impressive intraday reversal to close above its lower trendline, signaling a bullish shift in investor sentiment.

Investors should watch key overhead areas on Humana’s chart around $300, $336, and $383, while also monitoring an important support level near $213.

Read the full technical analysis piece here.

Timothy Smith

Futures Point to Sharply Higher Open for Major Indexes

3 hr 7 min ago

Futures tied to the Dow Jones Industrial Average were up 2.8%, indicating a gain of more than 1,000 points at the open.

TradingView

S&P 500 futures were up 2.7%.

TradingView

Nasdaq 100 futures gained 2.6%.

TradingView

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