Stocks sell-off as consumers start to sour on US economy The Dow lost over 700 points and the Nasdaq fell over 2% as consumers expressed more uncertainty over the economy. LIVE Yahoo Finance • 47 seconds ago YM=F -1.76% NQ=F -2.04% Inflation fears surge as consumer sentiment falls over tariff uncertainty Would a Tesla-Nissan mash-up make sense? US defense stocks drop while Europe emerges as surprise winner DOJ, SEC investigating $32 million CrowdStrike deal with Carahsoft Adams judge orders probe of Trump DOJ request to drop case Fed's QT pause, Treasury's debt plans may offer relief to US bonds US considers scrapping multibillion-dollar power auctions Gold heads for eighth weekly gain amid uncertainty of US tariffs Tariff fears help Port of Long Beach containers to record start Latest Dow tumbles 748 points, and S&P 500 has worst drop in 2 months after discouraging reports on the US economy Trump to use CFIUS to restrict Chinese investments in strategic areas, White House official says Bank of Canada’s Macklem Doubts Core Inflation Gauges, Pledges Review Stocks Get Hammered as Traders Hit Risk-Off Button: Markets Wrap Oil Falls to 2025 Low as Technicals Augment Ample Supply Outlook Hims & Hers Stock Drops as FDA Says Ozempic and Wegovy No Longer in Short Supply Is Amazon on course to upend LTL industry? Gold Slides After Finding Record High Popular Florida files suit against Target, claiming DEI initiatives 'misled investors' Fed officials flag rising inflation risks, Trump policy uncertainty The market’s all-time highs come with a load of anxiety: Morning Brief Walmart rolled through 2024, but uncertainty about consumers and tariffs seep into year ahead Palantir bulls should digest these other top worries Analyst Report: Walmart Inc 5 Things to Know Before the Stock Market Opens STREAMING NOW Market Domination: Overtime Inside MercadoLibre’s big Q4 results The Fed has pulled 'a rabbit out of a hat,' strategist says Roth Capital Partners Chief Economist and Macro Strategist Michael Darda shares his outlook on inflation and Federal Reserve policy on Market Domination. Darda characterizes the current stock market (^DJI, ^IXIC, ^GSPC) weakness as "a very minor pullback" following two years of "totally uninterrupted stock market gains for the S&P 500." He notes this pullback is "not surprising," citing inflated valuations, political uncertainty regarding economic policy, and the Federal Reserve's "indefinite pause." "It's a bit of a mess from a policy perspective, and that mess is occurring with very high stock market valuations on a historical basis," Darda explains. Regarding inflation concerns, Darda suggests there is an "overreaction" in markets, pointing to "very anchored inflation expectations." However, he cautions, "There are some warning signs here ... I mean, it's really an environment where we've had the Fed pull a rabbit out of a hat." "They were able to hike interest rates [by] 500-plus basis points, slow inflation, slow nominal growth, and not kill the economy. I mean, it's really historic, a black swan in a good way," he further tells Yahoo Finance. To watch more expert insights and analysis on the latest market action, check out more Market Domination here. This post was written by Angel Smith 04:52 Consumers reacting more to 'anticipated price shocks' from tariffs 03:01 Downsizing your home? Key tips for baby-boomers 00:56 UnitedHealth slumps, ethereum hack, Booking Holdings: Market Minute 05:29 Investing in TIPS: 3 factors to consider Investment Ideas Build Your Wealth View More More News