The S&P 500 surged on Monday as investors awaited pivotal insights from the upcoming Federal Reserve meeting and anticipated news from Nvidia’s annual AI conference. These events are expected to provide valuable perspectives on the future of artificial intelligence demand.

• Dow Jones Industrial Average: +353 points (+0.9%)
• S&P 500 Index: +0.2%
• NASDAQ Composite: +0.3%

Key Drivers Behind the Rally

Economic Uncertainty Amid Tariff Concerns
U.S. economic strength remains a major focus. Over the weekend, U.S. Treasury Secretary Scott Bessent indicated uncertainty about avoiding a recession in 2025, echoed by statements from President Donald Trump. These comments have intensified market caution even amid signs of recovery.

Retail Sales Rebound
In February, U.S. retail sales increased by 0.2% following a revised downturn of 1.2% in January. This rebound suggests mild growth in the first quarter, yet lingering effects from import tariffs and recent federal job cuts weigh heavily on sentiment. According to Jefferies, there’s little sign of consumers stockpiling in anticipation of more tariffs.

Focus on Upcoming Fed Meeting
Investors are closely scrutinizing the Federal Reserve’s policy meeting set for March 18-19, where many expect the central bank to maintain current interest rates. The Fed’s commentary surrounding U.S. tariff strategies—especially in light of recent changes under President Trump—remains a critical area of uncertainty.

Nvidia’s AI Conference
Nvidia’s conference represents another crucial event, as market experts look for signals regarding future AI demand that could reshape tech investments. The outcomes from this event are anticipated to provide further context on market trends and assist in directing investor choices.

Final Thoughts

As a blend of cautious optimism and economic apprehension prevails, the U.S. market is on the edge of significant developments while investors eagerly anticipate key insights from the Fed and Nvidia. As tariff policies and shifting consumer behaviors continue to shape the outlook, utilizing trustworthy financial data will be critical for successful navigation through these fluctuating market conditions.