Background on Key Players and Context
The U.S. stock market concluded a short week on a downward note, with the Dow Jones Industrial Average and Nasdaq Composite experiencing declines. However, the S&P 500 managed to close higher on Thursday, driven by positive performances from Eli Lilly and Apple. Investors were assessing the progress of U.S.-Japan trade negotiations and expressing concerns over interest rate prospects.
Trade Talks and Company Performance
Following President Donald Trump’s comments about “significant progress” in U.S.-Japan bilateral talks, investors leaned towards optimism after a steep drop on Wednesday. Eli Lilly’s stock surged 14.30% after reporting that its experimental pill performed as well as the blockbuster drug Ozempic in reducing weight and blood sugar levels among diabetic patients in a clinical trial. Meanwhile, Apple recovered 1.40% from recent heavy losses.
On the other hand, UnitedHealth’s stock plummeted 22.38%, dragging the Dow Jones Industrial Average into negative territory. The insurance giant lowered its annual earnings forecast due to expectations of rising medical costs for the remainder of the year. Other health insurance companies, such as CVS Health (-1.84%) and Humana (-7.40%), also experienced declines.
Weekly Performance and Global Impact
U.S. stocks have been under pressure in recent weeks due to Trump’s tariffs and his ongoing trade war with China. Since April 2, when Trump announced broad global tariffs that were later paused, the S&P 500 has dropped approximately 6%. In this short week, the S&P 500 gained 0.13% to reach 5,282.70 points, while the Nasdaq Composite fell 0.13% to 16,286.40 points. The Dow Jones Industrial Average declined 1.33% to 39,142.20 points.
Across the week, the S&P 500 fell 1.57%, the Nasdaq dropped 2.62%, and the Dow lost 2.66%. This downturn reflects investor concerns over trade policies and interest rate expectations.
Cross-Border Impact: Mexico’s Stock Market Performance
Mexico’s stock market ended the week with gains. Prior to the Semana Santa holiday, local indices rose amidst close monitoring of U.S. trade policy developments.
- The S&P/BMV IPC, Mexico’s leading index, increased 0.71% to 53,018.57 units.
- The FTSE-BIVA, Mexico’s Institutional Securities Index, advanced 0.65% to 1,078.42 units.
Over the short week, the S&P/BMV IPC rose 2.95%, and the FTSE-BIVA climbed 3.11%.
Key Questions and Answers
- Q: How did the major U.S. stock market indices perform this week? A: The S&P 500 gained 0.13% to close at 5,282.70 points, while the Nasdaq Composite fell 0.13% to 16,286.40 points. The Dow Jones Industrial Average dropped 1.33% to 39,142.20 points.
- Q: What drove the S&P 500’s gains on Thursday? A: The S&P 500 was boosted by strong performances from Eli Lilly and Apple, as investors remained optimistic about U.S.-Japan trade negotiations.
- Q: How did the Dow Jones Industrial Average perform during this week? A: The Dow Jones Industrial Average fell 1.33% due to UnitedHealth’s significant stock decline and concerns over rising medical costs.
- Q: What was the performance of Mexico’s stock market during this short week? A: Mexico’s stock market ended the week with gains, with the S&P/BMV IPC rising 2.95% and the FTSE-BIVA climbing 3.11%.
