Skip to content 
Overnight – Stocks rally as tariff wars soften
Stocks recovered after a horrible day yesterday as the White House announced a one-month delay for U.S. automakers that comply with the US – Mexico – Canada Agreement from the tariffs imposed on Mexico and Canada, cooling fears of a trade war.
Trump granted a one-month delay to the U.S. automakers that comply with USMCA from newly imposed tariffs on Mexico and Canada, the White House announced on Wednesday.
Auto stocks including General Motors, Ford, and Stellantis were sharply higher. The news added to hopes that tariffs on Mexico and Canada that went into effect on Tuesday could be short-lived. U.S. Commerce Secretary Howard Lutnick, in a Fox Business interview on Tuesday, said that President Trump is prepared to “meet in the middle” with Canada and Mexico regarding the newly imposed tariffs. The tariffs, which include a 25% duty on imports from Canada and Mexico, as well as an increase to 20% on Chinese goods, have raised concerns about economic growth and consumer prices in the U.S., which is already grappling with high inflation.
Data released earlier Wednesday showed that U.S. private payrolls increased at the slowest pace in seven months in February, stoking further worry about the economy following a slew of recent economic surprises to the downside. The ADP National Employment Report showed that private payrolls increased by only 77,000 jobs last month, the smallest rise since July 2024, after an upwardly revised 186,000 gain in January. Institute for Supply Management’s non-manufacturing PMI index, which accounts for a large bulk of the American economy, unexpectedly firmed in February, rising to a reading of 53.5 from 52.8 previously. But in a sign that upsides risks to inflation remain, the prices paid component of the index rose to 62.6 from 60.4, topping estimates for a reading of 50.
The data come just days ahead of the nonfarm payrolls report for February due Friday.
Company Earnings
- CrowdStrike –stock fell more than 6% after the cybersecurity firm forecast first-quarter revenue slightly below estimates, due to weak spending on its cybersecurity products.
- Campbell Soup – stock dropped nearly 3% after the packaged food company lowered its annual sales and profit forecasts, signaling weak demand for snacks amid intense competition from cheaper private-label brands.
- Foot Locker –stock soared over 4% after the footwear retailer reported better-than-anticipated earnings and comparable sales for the fourth quarter of fiscal 2025.
ASX SPI 8129 (+0.21%)
The ASX will follow the US higher, although investors weary of Trumps constant trash talk and looming US jobs numbers tomorrow night may see profit taking
Company Specific
- Ingham’shas appointed a new chief executive of its New Zealand business as the outgoing New Zealand CEO prepares to take the chicken supplier group’s top job.
- Arcadium Lithiumwill be suspended from trading on Thursday after a court waved through its acquisition by Rio Tinto.
