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US stocks fell solidly Monday as investors processed growing concerns about the health of the US economy and readied for a busy week of economic data, headlined by a report on inflation amid concerns over its resurgence under President Trump’s unpredictable trade policy.
The Dow Jones Industrial Average (^DJI) fell 0.8%, while the benchmark S&P 500 (^GSPC) dropped 1.3% after the index posted its worst week since September. The Nasdaq (^IXIC) also plummeted more than 2%, with “Magnificent Seven” stocks leading the sell-off.
All three major indexes looked set to build on losses of more than 2% last week.
DJI – Free Realtime Quote USD
As of 10:22:58 AM EDT. Market Open.
^DJI ^IXIC ^GSPC
March’s market struggles continue to be fueled by worries over the health of the US economy. Those concerns have become wrapped up in Trump’s ongoing trade salvo, as tariff negotiations between the US, Mexico, and Canada dominate the headlines. In a Sunday interview on Fox News, Trump addressed concerns about a potential recession, describing the economy as undergoing “a period of transition.”
Meanwhile, Mark Carney is set to become Canada’s new prime minister after his election as the Liberal Party’s leader. Carney’s initial signal is that he intends to take a hard line on tariff negotiations.
The political uncertainty is expected to persist into this week, with key economic data adding to the mix of potential market-moving factors. Updates on the inflationary picture will be in focus, with the February Consumer Price Index scheduled for release on Wednesday and the Producer Price Index set to follow on Thursday.
The Fed’s survey of consumer inflation expectations is set for release on Monday, followed by the University of Michigan’s consumer sentiment report on Friday.
Read more: The latest on Trump’s tariff plans
This week sees a quieter set of corporate earnings releases. Database giant Oracle (ORCL) reports on Monday while software maker Adobe (ADBE) is set to post results on Wednesday.
LIVE 9 updates
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Redfin stock spikes after Rocket announces $1.75 billion deal to buy the company
Mortgage giant Rocket Companies (RKT) announced Monday it struck a deal to purchase digital real estate brokerage Redfin (RDFN) in an all-stock deal valued at $1.75 billion.
Redfin stock rose as much as 76% on the news. Rocket stock fell as much as 10%.
According a statement announcing the deal, Redfin shareholders will receive just less than 0.8 shares of Rocket stock for each share of Redfin owned. Current Rocket shareholders will own about 95% of the combined company.
Rocket shareholders will receive a special cash dividend of $0.80 per share. The deal values Redfin at $12.50 per share.
The companies said the combined company should be able to cut about $140 million of operations and other costs by 2027 and realize an additional $60 million in savings from pairing Redfin agents with Rocket’s financing infrastructure.
The deal was approved by the boards of both companies and is expected to close in the second or third quarter of 2025.
Upon the agreement, Redfin CEO Glenn Kelman will continue to run Redfin’s business, reporting to Rocket Companies’ CEO Varun Krishna.
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Stocks open lower after notching their worst week since September
Selling on Wall Street resumed on Monday following the worst week for the S&P 500 since September as Wall Street continues to price in a potential economic impact from the Trump administration’s evolving tariff policy.
The “Magnificent Seven” stocks led the sell-off as the Nasdaq Composite (^IXIC) fell roughly 2% after slipping into correction territory last Thursday, The S&P 500 (^GSPC) tumbled 1.5% while the Dow Jones Industrial Average (^DJI) also sank nearly 1%.
Shares of Nvidia (NVDA), Tesla (TSLA), Alphabet (GOOG, GOOGL), Amazon (AMZN), and Meta (META) were all down more than 2% in early trading.
Meanwhile Morgan Stanley’s Michael Wilson joined the group of strategists sounding the economic risk alarm over President Trump’s tariff policies.
Wilson forecasts the S&P 500 could drop as much as 5% in the first half of the year due to the impact of levies and less fiscal spending.
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Stock futures down across the board as recession fears brew
US stock futures accelerated losses 30 minutes before the opening bell as economic concerns mounted ahead of Wednesday’s inflation report.
Dow Jones Industrial Average futures (YM=F) fell 1.1%, while futures attached to the benchmark S&P 500 (ES=F) dropped 1.4%. Futures tied to the Nasdaq (NQ=F) plummeted 1.6%.
Stocks continued a rough start to March after the Nasdaq Composite entered correction territory last week while the S&P 500 logged its worst week since September.
CBOT – Delayed Quote USD
As of 10:12:58 AM EDT. Market Open.
YM=F ES=F NQ=F
Crypto also saw losses in premarket trading, as President Trump’s crypto reserve announcement last week did little to ease sentiment. Bitcoin dropped nearly 2% to trade around the $83,000 level.
Shares of Tesla (TSLA) also dropped 3.8% and Nvidia (NVDA) lost 2.7%, weighing on markets. Reddit (RDDT) stock extended heavy losses, down about 4.7%.
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Ford to inject up to $4.8 billion into cash-strapped German business
Ford stock (F) fell over 1% in premarket trading after the automaker announced a 4.4 billion euro ($4.76 billion) investment into its struggling German business.
Reuters reports:
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Treasurys gain as Trump transition talk fuels recession angst
From Bloomberg:
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Morgan Stanley: S&P 500 at risk of 5% drop due to growth concerns
US stocks could fall an additional 5%, driven by concerns over tariffs impacting corporate earnings and reduced fiscal spending, warns Morgan Stanley’s Michael Wilson.
SNP – Free Realtime Quote USD
As of 10:22:59 AM EDT. Market Open.
Bloomberg news reports:
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Good morning. Here’s what’s happening today.
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Gold stays strong after weekly gain
Gold (GC=F) remained strong following a week of gains as market jitters caused by global economic uncertainty led to haven demand.
Bloomberg reports:
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Oil prices drop as China data sours global outlook on risk
Oil prices dropped as disappointing economic data from China highlighted a bleak demand outlook, while broader markets reflected a reticence to take on risk.
Bloomberg reports:
