Today’s Midday Market Update: Stocks Mixed as Consumer Confidence Plunges and Earnings Season Heats Up
Market Indexes Show Mixed Performance Amid Economic Concerns
As of midday Tuesday, April 29, 2025, U.S. stock markets are showing mixed performance with investors closely monitoring a busy earnings week and digesting concerning economic data. The Dow Jones Industrial Average is up 0.24% at 40,227.59, continuing its positive momentum from yesterday. The S&P 500 is slightly higher by 0.13%, marking its fifth consecutive winning session – its best streak since November. Meanwhile, the tech-heavy Nasdaq Composite is trading marginally lower, down 0.1% at 17,366.13.
Market sentiment remains cautious as all three major indexes are still down for the year, with the S&P 500 on track to fall approximately 1.5% for April. The Dow has tumbled more than 4% this month, while the Nasdaq Composite is the only major index showing positive performance for April, up about 0.4%.
Consumer Confidence Plummets to Five-Year Low
Today’s release of the Conference Board’s Consumer Confidence Index has sent shockwaves through the market. The index plunged to 86.0 in April from March’s revised 93.9, marking the fifth consecutive monthly decline – the longest such streak since 2008. This reading represents the lowest level since May 2020 and fell below economists’ expectations of 87.7.
Particularly concerning is the Expectations Index, which captures consumers’ outlook on the economy. This measure plummeted 12.5 points to 54.4, its lowest level in nearly five years. Economists note that a reading below 80 for this component historically signals a recession within the next year.
“Consumer confidence declined for a fifth consecutive month in April, falling to levels not seen since the onset of the COVID pandemic,” said Stephanie Guichard, Senior Economist at The Conference Board. “The decline was largely driven by consumers’ expectations. The three expectation components—business conditions, employment prospects, and future income—all deteriorated sharply, reflecting pervasive pessimism about the future.”
Major Earnings Week Underway
This week marks a critical period for first-quarter earnings season, with approximately one-third of S&P 500 companies reporting results. So far this season, about 73% of reporting companies have exceeded Wall Street expectations, slightly below the 5-year average of 77%.
Today’s notable earnings releases include General Motors (GM), Coca-Cola (KO), Pfizer (PFE), Visa (V), PayPal (PYPL), and Starbucks (SBUX). Investors are particularly focused on PayPal, which could see significant movement with options implying a potential 8.30% swing following its report.
The market is also eagerly anticipating results from four of the “Magnificent Seven” tech giants later this week:
– Meta Platforms (META) and Microsoft (MSFT) report on Wednesday
– Apple (AAPL) and Amazon (AMZN) report on Thursday
Trade Policy Developments Impact Market Sentiment
The Trump administration’s trade policies continue to influence market dynamics. In a positive development for automakers, officials have signaled plans to reduce the impact of automotive tariffs by alleviating some duties imposed on foreign parts in domestically manufactured vehicles.
This news has boosted shares of major automakers, with Ford (F) rising 1.1%, Tesla (TSLA) gaining 0.8%, and General Motors (GM) up 0.9% ahead of its quarterly results today.
Notable Stock Movers
Among today’s notable stock movements:
– Boeing (BA) is leading the Dow Jones Industrial Average with a 2.4% gain.
– NXP Semiconductors (NXPI) has fallen 8.1% after only slightly beating revenue expectations and announcing CEO Kurt Sievers will retire by year-end.
– Energy and Real Estate sectors are showing strength today, with the Energy Select Sector SPDR (XLE) and Real Estate Select Sector SPDR (XLRE) both up 0.7% and 0.6% respectively.
Upcoming Economic Data to Watch
Investors are positioning for several key economic releases later this week that could significantly impact market direction:
– JOLTs job openings data expected later today
– U.S. first-quarter GDP report later this week
– Nonfarm payrolls report at the end of the week
These reports will provide crucial insights into the health of the U.S. economy amid growing concerns about a potential slowdown.
Market Outlook
Despite recent gains, market sentiment remains cautious. The VIX fear gauge is up 1.3% to 25.15, indicating persistent investor anxiety.
As Larry Tentarelli, founder of the Blue Chip Daily Trend Report, noted, “Any pullbacks have turned to be buyable. I think the bulls are back in control.”
