In a trading session that began with a slight upward trend, the market quickly turned sour, resulting in a collective decline across major stock indices as investors opted to hold onto their cash heading into the weekendAs the trading day unfolded, the three major indices experienced a mid-session plunge, closing in the red.

By the end of the day, the S&P 500 had fallen by 0.5% to finish at 6040.53 pointsThe Nasdaq Composite saw a dip of 0.28%, closing at 19627.44 points, while the Dow Jones Industrial Average recorded a more substantial drop, down 0.75% and ending at 44544.66 points.

Although the declines in percentage terms were modest, the manner of the drop was somewhat dramatic, indicative of a tense trading atmosphere.

Looking back over the past week, the S&P 500 experienced a loss of 1%, the Nasdaq dropped 1.64%, while the Dow managed a slight gain of 0.27%.

The primary catalyst for the day’s fluctuating emotions was once again related to tariffsWith a deadline looming on February 1, uncertainty reigned as reports surfaced late in the day suggesting that tariffs on imports from Mexico might be delayed until March 1. This led Wall Street to believe that tariffs would continue to serve as a method of pressure from the U.S. governmentHowever, an afternoon press briefing brought the potential for actual tariffs on February 1 back into focus, heightening market anxiety.

Subsequently, U.S. county governments announced plans to impose tariffs on a wide array of imported goods, including steel, aluminum, oil, natural gas, pharmaceuticals, and semiconductors, in the near future.

Max Gokhman, a strategist at Franklin Templeton, interpreted the market's reaction as a sign that with the weekend approaching, even individuals closely connected to the Oval Office were lacking full detailsThis uncertainty compelled some bullish investors to step back and wait out the turbulence.

Brent Donnelly, president of Spectra Markets, echoed these sentiments, commenting that traders were once again facing a scenario reminiscent of the tumultuous periods between 2017 and 2019, characterized by sensationalized media reports lacking credible sources and rapid governmental rebuttals, all leading to significant price volatility.

Responding to recent threats from the White House, Canadian Prime Minister Justin Trudeau expressed that no one desires tariffs on Canadian goods

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However, he warned that Canada is prepared to respond forcefully and immediately if the U.S. continues its push for tariffs.

Turning to individual stock performance, tech giants, similar to the broader indices, displayed minor declines but were nonetheless hit hard overallApple, which had reported earnings on the previous day, fluctuated sharply, climbing nearly 4% before closing down 0.67%. Nvidia swung from a 2% gain to a 3.67% loss by the day's endOther notable movements included Microsoft slightly up by 0.02%, Amazon gaining 1.3%, Alphabet (Google) rising 1.57%, Tesla advancing 1.08%, and Meta marking a gain of 0.32%. However, Advanced Micro Devices and Intel suffered losses of 2.45% and 2.9%, respectively.

Chinese stocks were similarly caught in the malaise, with the Nasdaq Golden Dragon Index declining by 3.53% on Friday but managing an overall weekly gain of 1.25%.

Among the Chinese companies listed, Alibaba fell by 3.80%, JD.com by 3.74%, Baidu by 4.4%, Pinduoduo by 3.02%, Bilibili by 4.95%, NIO by 2.70%, NetEase by 1.94%, Futu Holdings by 3.53%, Li Auto by 2.86%, and Xpeng Motors by 2.25% as the market faced downward pressure.

In terms of market news, there were several noteworthy developments:

Firstly, recent leaks indicated that Apple has officially discontinued its AR glasses project, representing another setback for the tech titan in the highly competitive field of consumer electronics but further consolidating its focus on software and services.

Moreover, during an internal meeting, Meta CEO Mark Zuckerberg expressed displeasure over leaked information and warned that employees divulging sensitive material would face terminationIn a recent all-hands meeting, he disclosed strategic shifts, including the cessation of DEI initiatives, revisions to hate speech policies, and potential layoffsDespite his attempts to tighten internal confidentiality, details of the meeting quickly escaped into the public domain.

Turning to a more positive note, Atlassian, the Australian software firm, reported strong earnings, leading to a stock price surge of nearly 15%. The company’s adjusted earnings per share reached 96 cents, surpassing analyst expectations of 76 cents, with revenue reported at $1.29 billion — exceeding projections by $124 million

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