General market concerns

What happened: Markets continued their downward trajectory, with the S&P 500, Nasdaq, and Dow experiencing their fourth consecutive week of losses by March 24. Key drivers included geopolitical concerns, such as the Iran war, and rising wholesale inflation. Financial stocks, particularly those exposed to private credit, underperformed, with the S&P 500's financial sector down 11% year-to-date. Bitcoin also declined as prospects for interest rate cuts faded. The Bank of England's deputy governor warned that record-high global stock markets do not reflect economic risks, predicting a fall.

Market impact: Tech and software stocks, along with financials, were among the hardest hit. Oracle (ORCL) and Nvidia (NVDA) saw weakness, while the S&P 500's financial sector was on track for its worst first quarter since 2020. Gold (GLD) and long-term treasury bonds (TLT) gained as safe havens, benefiting from market uncertainty. Asian markets tracked Wall Street lower, reflecting global investor concerns.

What to watch next: Upcoming catalysts include the Federal Reserve's interest rate decision on May 3, which could provide clarity on monetary policy tightening. Earnings season, starting in mid-April, will offer insights into companies' financial health. Additionally, geopolitical developments, such as progress in the Russia-Ukraine conflict, may influence market sentiment.