US Stocks to Open Lower as Quarterly Win Streak Set to Break

U.S. markets are seemingly set to continue the downtrend into the new week, with pre-markets firmly negative this morning following three consecutive days of losses into Friday. Several factors are contributing to the negative market sentiment, including concerns over new auto tariffs, mixed signals from potential future tariffs, and economic indicators giving further cause for concern.

The S&P 500 fell 3.39% through the final three sessions of last week, with the futures pointing to a further 1% drop through this morning. Leading into the final trading day of the quarter, the index appears set to break a quarterly win streak that had extended to five.

President Donald Trump has threatened to levy higher tariffs on European Union and Canadian products if they retaliate against planned auto tariffs, adding to the existing market anxieties, as sectors sensitive to these changes are poised for potential setbacks.

In premarket trading, prominent exchange-traded funds (ETFs) also reflected this downward trend. The SPDR S&P 500 ETF Trust (SPY) fell by 1% to $550, while the Invesco QQQ Trust ETF (QQQ) declined by 1.34% to $462.65.

European automakers have been significantly affected by these developments, with companies like Mercedes-Benz Group AG and Porsche Automobil Holding SE experiencing noticeable drops in their stock prices.

Crucial economic indicators also provided mixed signals. U.S. initial jobless claims decreased by 1,000 to 224,000, coming in below analysts' estimates, while the fourth-quarter GDP growth was revised up to 2.4%. Additionally, U.S. wholesale inventories slightly increased by 0.3% in February, further adding to the complex economic landscape.

The U.S. stock market faces a challenging environment, characterised by tariff disputes, mixed economic indicators, and broader global uncertainties. After the sell-off looked to have stemmed for a period, the attitude seems to have flipped back to a risk-off sentiment leading into the final trading session of the quarter.