U.S. Inflation Creates Volatility; Intel Gains; Tesla Surges Following Trump Endorsement | MarketReader Minute

Welcome to the MarketReader Minute.

Below are AI-generated insights on today’s premarket moves, powered by MarketReader technology.

If you find the insights useful, you may subscribe to our new sector-specific newsletters or share this on Twitter.

Wednesday, March 12

Noteworthy macro moves today: Copper +3.8%. Nasdaq 100 Index (US) +1.5%. S&P 500 Index (US) +1.1%. Noteworthy US mega-cap moves today: Tesla Inc (TSLA) +5.9%. NVIDIA Corp (NVDA) +4.5%. Broadcom Inc (AVGO) +3.3%. 

Recent market movements are significantly influenced by the release of U.S. inflation data, which showed that core consumer prices rose by only 0.2% in February, below expectations and down from a higher rate in January.

In addition to domestic economic indicators, geopolitical developments have also played a crucial role; President Trump's recent tariff policies on Canadian steel and aluminum imports took effect amid ongoing trade tensions with Europe. The European Union announced retaliatory tariffs worth €26 billion against U.S. goods starting next month, further complicating international trade relations.

Furthermore, optimism surrounding peace talks between Ukraine and Russia appears to be bolstering investor sentiment across global markets today—European indices such as Germany's DAX saw gains exceeding 1%, while futures for major U.S stock indexes indicated positive openings following yesterday’s declines driven largely by uncertainties around tariffs and their implications for growth prospects.

SPDR S&P 500 ETF Trust (SPY) [+1.0%]
The SPDR S&P 500 ETF Trust experienced a notable price increase of 1.0% during the pre-market session, following a rise of 1.65% to $5,664 after the release of positive Consumer Price Index (CPI) data. The ETF further climbed to $5,670, surpassing previous highs. Market sentiment reflects increased expectations for at least two Federal Reserve rate cuts this year. Despite this, RBC Capital has stated that while stock market valuations have improved, they do not warrant a broad buy signal for the S&P 500. Social media discussions highlighted a significant sell-off in U.S. stocks amid recession fears, with most S&P 500 stocks now in a bear market. Additionally, concerns regarding inflation and economic policy's impact on SPY's performance were prevalent in online conversations. The ETF's year-to-date performance shows a decline of 5.1%, contrasting with gains in silver during the same period.

iShares 20+ Year Treasury Bond ETF (TLT) [-0.6%]
The iShares 20+ Year Treasury Bond ETF (TLT) has seen a decrease of 0.6% in pre-market trading. This decline follows a notable influx of $1 billion in new assets, driven by demand for safety amid recession fears, as major equity indexes, including the Dow, experienced significant declines. Concurrently, high-yield bonds faced selling pressure, with the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) recording outflows of nearly $492 million. Fixed-income funds led net inflows for the day, totaling $1.6 billion. Recent macroeconomic data revealed lower-than-expected inflation rates, which typically lead to more substantial movements in TLT. Additionally, the US 30-Year Treasury Bond experienced a decline of 0.53%, influenced by the release of the Consumer Price Index that fell short of expectations. The iShares TIPS Bond ETF also declined by 0.08%, reflecting broader market sentiment that may impact TLT's performance.

INTC | +5.4% | +4.8B
Intel Corp | Semiconductors
Intel Corp's shares are experiencing a notable increase, moving higher in tandem with the broader market. Recent reports suggest that Taiwan Semiconductor Manufacturing Company (TSMC) has approached major semiconductor firms, including Nvidia, AMD, and Broadcom, to discuss a potential joint venture aimed at operating Intel's factories. This development may enhance operational efficiency and market positioning for Intel. Social media discussions reflect this momentum, highlighting a surge in Intel's stock during night trading and pre-bell trading sessions. The Nasdaq 100 Index has also shown an increase, indicating a positive sentiment that could be influencing Intel's price movement. Despite this upward trend, there have been mentions of volatility in Intel's recent performance, including a streak of lower closes prior to this uptick.

TSLA | +3.8% | +29.2B
Tesla Inc | Automobile Manufacturers
Tesla Inc's stock has experienced a notable increase, rising significantly alongside the broader market. This upward movement follows President Trump's endorsement of the Tesla Model S Plaid, which he intends to purchase for White House staff use. Analysts suggest this could lead to approximately 1.7 million additional purchases among Republican supporters. Concurrently, CEO Elon Musk announced plans to double U.S. production within two years, aligning with the political support from Trump. Despite this positive momentum, concerns persist regarding declining sales in markets such as Australia and New Zealand, along with reports of unsold vehicles in the U.S. The stock closed up nearly 4% at $230.58 and continued to rise in after-hours trading. Meanwhile, the Nasdaq 100 Index also increased, reflecting broader market sentiment that may influence Tesla's recent price action.

RHHBY | +5.0% | +1.5B
Roche Holding AG | Pharmaceuticals
Roche Holding AG has announced a strategic collaboration with Zealand Pharma to develop and commercialize petrelintide as a foundational therapy for overweight and obesity. The agreement, revealed approximately six hours ago, involves upfront cash payments totaling $1.65 billion, with $1.4 billion payable at closing and the remainder distributed as anniversary payments over two years. Potential milestone payments could raise the total to $5.3 billion. This partnership will include co-development and co-commercialization of petrelintide monotherapy and combination products, such as petrelintide/CT-388, in the U.S. and Europe, with profits and losses shared equally between the companies. Petrelintide is currently in phase 2 clinical development and aims to address cardiovascular, renal, and metabolic diseases related to obesity, which is projected to impact over 4 billion people globally by 2035.

NVDA | +2.8% | +76.1B
NVIDIA Corp | Semiconductors
NVIDIA Corp is experiencing a price increase alongside the broader market, which has also moved significantly higher. This uplift coincides with the release of U.S. inflation data, showing a deceleration in both headline and core consumer price indices, contributing to expectations for future interest rate cuts by the Federal Reserve. Additionally, discussions on social media have highlighted recent posts about Microsoft's withdrawal from commitments with CoreWeave, Wells Fargo's characterization of NVIDIA's recent decline as a buying opportunity, and Google's unveiling of its Gemma 3 AI model, which operates efficiently on NVIDIA's H100 GPU. The Invesco QQQ Trust and Nasdaq 100 Index have also risen, reflecting positive sentiment in the market. Furthermore, NVIDIA went ex-dividend for $0.01 per share.

Thank you for spending a minute with us. 

If you have 2 more minutes, watch this demo of the MarketReader Platform: