April 29, 2025

The Pulse: Global economic and market news for Tuesday, April 29, 2025

Markets ended higher on Tuesday, April 29, 2025, as investors navigated a busy day marked by critical earnings reports, fresh economic data, and a notable shift in U.S. tariff policy. A much-needed reprieve for automakers supported Wall Street’s cautious optimism, while persistent concerns about consumer confidence and labor market softness tempered gains.

U.S. Stocks Extend Win Streak on Tariff Relief and Earnings

U.S. equities closed higher after a choppy session, with the Dow Jones Industrial Average climbing 0.8% (over 300 points), notching its longest winning streak of 2025. The S&P 500 and Nasdaq Composite also finished in positive territory, buoyed by strong earnings from major companies and optimism around trade policy 652. The S&P 500 has now gained for six consecutive sessions, its best run since November, though it remains down about 1.5% for the month 125.

The day’s rally was fueled by President Donald Trump’s executive order halting additional tariffs on imported vehicles, easing pressure on automakers and their supply chains16. This policy shift comes as the administration seeks to mitigate the effects of existing auto tariffs and signals a potential thaw in U.S.-China trade tensions. Honeywell surged 5.3% after reporting strong earnings, while United Parcel Service (UPS) rose 2.6%, reflecting resilience in key economic sectors12.

General Motors (GM) shares fell 2.8% after the company withdrew its annual forecast, citing tariff uncertainty. Ford and Tesla also saw minor declines, reversing earlier gains as the auto sector digested the policy news and its implications for future profitability16.

Earnings Season in Focus

Earnings reports remained in the spotlight, with four members of the “Magnificent Seven”-Meta Platforms, Microsoft, Apple, and Amazon-set to release their results this week. Honeywell, Sherwin-Williams, Coca-Cola, and UPS all posted better-than-expected numbers, helping to offset weakness in other sectors125. Regeneron Pharmaceuticals and Spotify, however, saw their shares tumble following disappointing results2.

GM postponed its earnings call until Thursday to allow for further clarity on tariff-related policy changes, even as it reported a first-quarter earnings beat6. The move reflects the uncertainty many companies face as they try to assess the impact of evolving trade rules.

Economic Data: Consumer Confidence and Labor Market Cool

On the macroeconomic front, April's Conference Board’s Consumer Confidence Index fell to 86, its lowest level in nearly four years and well below expectations, marking the fifth straight monthly decline6. Job openings dropped to 7.19 million in March, the weakest since the post-pandemic recovery began, signaling a cooling labor market. The construction sector was particularly hard-hit, with job openings down 38,000 last month.

Wells Fargo’s Sarah House described the labor market as “treading water in a choppy sea,” warning that further economic weakness could destabilize hiring and spending.

Energy and Commodities

Oil prices continued to slide, with West Texas Intermediate crude settling just above $60 per barrel and Brent dipping below $64, down roughly 14% year-to-date6. The Trump administration has prioritized easing energy costs, and analysts noted that the latest tariff relief could help stabilize the outlook for crude oil, even as energy inflation slows.

Market Outlook

Despite the positive momentum from earnings and tariff relief, analysts remain cautious. The S&P 500 and Dow are still down for the year, and many companies have warned that tariff uncertainty could weigh on future forecasts125. Investors are watching closely for further developments in U.S.-China trade talks and upcoming economic data, including first-quarter GDP and nonfarm payrolls later this week.

Disclosure

This article contains forward-looking statements based on current expectations as of April 29, 2025. These statements involve risks and uncertainties that may cause actual results to differ materially from those set forth herein. The economic and market analyses presented are based on various assumptions and may not prove accurate. Investors are cautioned not to place undue reliance on forward-looking information.

The information provided is for informational purposes only and should not be considered investment advice or a recommendation of any particular security, strategy, or investment product. The article references third-party information from various news sources; while efforts have been made to ensure accuracy, reliability cannot be guaranteed.

Market data mentioned is as of April 29, 2025, and is subject to change. Past performance is not indicative of future results. Readers are advised to conduct their own research and consult with qualified financial professionals before making investment decisions.

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The Pulse: Global economic and market news for Tuesday, April 29, 2025

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