Stocks to Watch on Tuesday, March 25, 2025

Key Takeaways

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Market Sentiment: The S&P 500 remains in a technical correction (-10% from highs) but shows oversold conditions (RSI rebounding to 36).

Sector Focus: Tech (AI momentum via Nvidia’s GTC conference) and consumer discretionary stocks (Nike, FedEx) face pre-earnings volatility.

Earnings Spotlight: KE Holdings, Tencent Music, and ZTO Express report amid China’s regulatory and economic shifts.

Macro Risks: Tariff escalations and government shutdown fears could amplify volatility.

Technical Levels: S&P 500’s 200-day SMA (~5,740) and Russell 2000’s rebound above 2,000 are pivotal.

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Market Sentiment and Key Catalysts

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Tuesday’s trading session will likely hinge on consumer confidence data and lingering geopolitical tensions, particularly tariff developments.

The S&P 500 recently entered a technical correction phase (-10% from highs) but showed signs of oversold conditions, with the Relative Strength Index (RSI) rebounding from 27 to 36.

Analysts caution that a sustained rally depends on economic resilience and Federal Reserve policy signals ahead of next week’s FOMC meeting.

Sector Spotlight: Tech and Consumer Discretionary

1. Nvidia (NVDA)
While not directly listed in earnings calendars, Nvidia’s annual GTC conference (running through the week) could drive momentum for AI-related stocks. Recent tariff concerns and semiconductor demand trends may influence sector-wide movements.

2. Retail and Consumer Stocks
Companies like Nike (NKE) and FedEx (FDX), set to report earnings later this week, may see pre-announcement volatility. Weak consumer spending signals from Delta Airlines and retailers like Walmart could weigh on sentiment.

Earnings Calendar Highlights

Tuesday, March 25

• KE Holdings Inc. (BEKE): The Chinese real estate platform faces scrutiny amid regulatory shifts and property market volatility.

• Tencent Music Entertainment Group (TME): Investors will monitor streaming growth and competition in China’s music sector.

• ZTO Express (ZTO): Logistics demand trends and cost management will be key focal points for the Chinese delivery giant.

Technical and Macro Considerations

• S&P 500: A bounce above the 200-day SMA (~5,740) could signal bullish momentum, while failure to hold support near 5,600 may extend declines.

• Russell 2000: The small-cap index’s rebound above 2,000 and RSI recovery suggest short-term relief, though broader bearish trends persist.

Wildcard Factors

• Tariff Developments: Escalations in U.S. trade policies, particularly on steel and aluminum, could pressure industrials and global supply chains.

• Government Shutdown Risks: Progress on stopgap funding bills may alleviate near-term volatility.

For traders, balancing technical setups with macroeconomic data will be critical. Focus on stocks with strong earnings catalysts and sector resilience to navigate Tuesday’s market dynamics.

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