Forex Analysis & Reviews: 11.03.2025 - Recession Fears Weigh on the...

Live Chat

InstaForex - Official partner of Dragon Racing

This section features the most important information about trading with InstaForex. We provide both analysis from leading experts for experienced traders and articles on trading conditions for beginners. Our services will help increase your profit potential.

Become Trader

Account Opening

See also

Trading Conditions

Forex Analytics

Charts

This section is designed for those who are just starting their trading journey. InstaForex educational and analytical materials will meet your training needs. Our experts' recommendations will make your first steps to trading success simple and clear.

Start as Beginner

How to start trading

Useful information

Training and recordings

InstaForex innovative services are an essential element of productive investment. We strive to provide our clients with advanced technical capabilities and make their trading routine comfortable as we are recognized as the best broker in this regard.

Become Investor

PAMM System

ForexCopy System

Passive investments

OYS account

Partnership with InstaForex is beneficial and top-tier. Join our affiliate programs and enjoy bonuses, partner rewards, and the possibility to travel with the team of the world-renowned brand.

Become Partner

Main Page

Partner Area

Advantages for Affiliates

Registration

This section contains the most lucrative offers from InstaForex. Receive bonuses when topping up an account, compete with other traders, and get real prizes even when trading in a demo account.

All Promo Campaigns

Bonuses

Contests

Events

Holidays with InstaForex are not only pleasant but also useful. We offer a one-stop portal, numerous forums, and corporate blogs, where traders can exchange experiences and become successfully integrated into the Forex community.

Full details

Forums

We are in social networks

Forex humour

Forex Portal

InstaForex is an international brand created in 2007. The company provides services for online FX trading and is recognized as one of the world's leading brokers. We have won the trust of more than 7,000,000 retail traders, who have already appreciated our reliability and focus on innovations.

Learn More

History

Why Choose Us

InstaSport

Regulation

Company News

Awards

InstaForex Stars

InstaForex Offline

Headquarters

Key documents

Social Responsibility

InstaForex - Official partner of Dragon Racing

11.03.2025 11:05 AM

Recession Fears Weigh on the U.S. Stock Market (Expect Further Decline in CFD Contracts #NDX and #SPX)

On Monday, the U.S. stock market plunged, dragging down European trading platforms and Asian markets in early Tuesday trading. Trump's trade wars remain a central theme, fueling uncertainty among investors.

Investors are growing increasingly concerned about the U.S. economy, which is showing signs of sliding into a recession amid persistently high inflation. Recent economic data further reinforce these fears. However, President Donald Trump dismissed concerns raised by the business community regarding the uncertainty surrounding his tariff policies. In a Sunday interview with Fox News, he acknowledged potential "disruptions," but stated that "the government is completely fine with it."

As a result, the three major U.S. stock indices fell between 2.08% and 4.00% on Monday, deepening the ongoing correction in the U.S. stock market.

Weak Labor Market Data Add to Market Anxiety

Additional concerns about the state of the U.S. economy arose after Friday's employment report. While the report showed a stronger-than-expected increase of 151,000 new jobs, the unemployment rate ticked up from 4.0% to 4.1%. The prevailing pessimism led to increased demand for U.S. Treasuries, pushing the benchmark 10-year yield below 4.2%. This, combined with growing interest in safe-haven assets such as gold and the U.S. dollar, underscores the prevailing risk-off sentiment.

Although neither the dollar nor gold showed significant gains, price stabilization in these assets suggests that investors are seeking safety.

Key Market Drivers: Recession Risks and Tariff Wars

The primary concern remains the risk of the U.S. economy slipping into a recession, exacerbated by Trump's trade wars and persistently high inflation.

Market Rebound or a Temporary Correction?

At the European market open, futures on the three major U.S. stock indices showed positive momentum, while crude oil and other commodity assets also rebounded after Monday's sell-off.

The key question: Is this the beginning of a recovery, or just a temporary rebound?

At this point, it is difficult to say. Trump's economic policies remain unchanged, and there are no visible signs of improvement or positive outcomes. Therefore, the correction in U.S. equities still has room to extend further.

Market Focus: JOLTS Job Openings Report

Today, the market will closely watch the JOLTS Job Openings report, expected to show an increase to 7.65 million in January from 7.60 million in December.

A strong report could provide a short-term boost to the stock market, lifting equity indices temporarily. However, any upward correction is likely to be short-lived, as negative sentiment remains dominant in the market.

Daily Forecast:

#NDX (NASDAQ 100 Futures CFD)

The NASDAQ 100 CFD contract may attempt a recovery to 19,890.00, driven by a positive JOLTS report and profit-taking from recent sell-offs. However, ongoing market negativity suggests that the index may reverse and continue its correction down toward 18,895.00.

#SPX (S&P 500 Futures CFD)

The S&P 500 CFD contract may attempt to climb to 5,700.20 following a potentially positive JOLTS report and profit-taking on previous losses. However, given the persistent bearish market sentiment, it is highly likely to resume its downward correction toward 5,521.00.

You have already liked this post today

*Disclaimer: The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.