4E: Trump Tariff Uncertainty Intensifies Volatility, U.S. Stocks Mixed, Crypto Market Shows Divergence

February 27th: On Wednesday, Trump held the inaugural cabinet meeting. He confirmed the scheduled implementation of tariffs on Canada and Mexico and claimed to impose a 25% tariff on the European Union. Additionally, U.S. new home sales in January dropped to a three-month low, further indicating signs of weak consumer demand. The combination of the tariff policy and poor consumption data has raised concerns in the market regarding the economic growth outlook. According to 4E monitoring, U.S. stocks initially witnessed a broad-based surge. However, they fell from their intraday highs under the influence of Trump's tariff remarks and ended the day in a mixed manner. The S&P 500 index, which had been declining for four consecutive days, and the Nasdaq rose slightly by 0.01% and 0.26% respectively, while the Dow fell by 0.43%. The majority of tech stocks rose, with Nvidia leading the way by more than 3% ahead of its earnings report. After the U.S. market closed, Nvidia's fourth-quarter earnings and current-quarter guidance both exceeded market expectations, alleviating concerns about its AI chip production and computing power demand. The crypto market did not rebound in tandem with tech stocks. Bitcoin fell again, hitting a low of $82,256 and currently trading at $84,705, with a 24-hour decline of 4.84%. The top ten mainstream coins collectively experienced a downturn, with ETH and SOL falling by 5.46% and 3.9% respectively. Altcoins showed diverse performance, with some rising against the trend, indicating signs of a vampire attack on Bitcoin. This led to Bitcoin's market dominance dropping from 61% to 59.5% in two days. Current tariff concerns and economic slowdown continue to dominate market sentiment. Investors are closely watching the upcoming release of U.S. GDP and PCE data, as well as the latest developments in Trump's tariff plan.