Why Gold Prices Are Plunging on Wednesday
34 minutes ago
Gold prices tumbled on Wednesday after comments from President Trump on Federal Reserve independence and trade relations with China revived Wall Street’s risk appetite.
Gold futures were recently down 3.5% to $3,300 an ounce. Prices hit an all-time high of more than $3,500 early Tuesday morning as investors contemplated the possibility Trump could oust Federal Reserve Chair Jerome Powell, who he has criticized for not cutting interest rates and for saying tariffs are likely to increase consumer prices.
Gold prices have surged this year, especially in the weeks since Trump paused the sweeping tariffs he announced in early April. Gold’s status as a safe-haven asset untethered to a single economy—unlike other traditional safe bets like the dollar and Treasurys, over which the U.S. government can wield substantial influence—has made it an appealing destination for investors unnerved by the Trump administration.
Markets were relieved on Wednesday morning after Trump late Tuesday said he had no plans to fire Powell. That statement dispelled some of the fear running through markets since last Friday, when Trump’s economic advisor Kevin Hassett said the White House was exploring whether it was legally viable for the president to remove Powell before the end of his term.
Investors’ risk appetite was stoked further on Wednesday by signs the White House is looking to de-escalate its trade war with China. Stocks soared on Tuesday following reports Treasury Secretary Scott Bessent said the current state of U.S.-China trade—with both countries charging each other tariffs of more than 100%—was unsustainable, and that he expected tensions to cool soon.
Trump struck a similar tone later in the day when he said his administration would “be very good to China” in their negotiations. He predicted the final duty on Chinese goods entering America wouldn’t be “anywhere near” their current level.
Boeing Soars Following Narrower-Than-Expected Loss
1 hr 17 min ago
Boeing (BA) shares jumped Wednesday morning after the plane maker’s first-quarter adjusted loss came in much smaller than anticipated.
The company reported an adjusted loss per share of $0.49 on revenue of $19.50 billion. Analysts polled by Visible Alpha had expected an adjusted loss per share of $1.24 on revenue of $19.66 billion.
“Our company is moving in the right direction as we start to see improved operational performance across our businesses from our ongoing focus on safety and quality,” Boeing CEO Kelly Ortberg said. “We continue to execute our plan, are seeing early positive results and remain committed to making the fundamental changes needed to fully recover the company’s performance while navigating the current environment.”
Shares of Boeing were up 6% in recent trading. The stock is down about 2.5% since the start of 2025, outperforming the S&P 500 over that period.
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On Tuesday, Boeing said it would sell parts of its Digital Aviation Solutions business to software investment firm Thoma Bravo for $10.55 billion. The company said the all-cash deal will help improve its balance sheet and allow it to focus on its core businesses.
Boeing has been caught in the crossfire of the developing trade war between the U.S. and China, as its completed planes have reportedly started to come back to America after China told its domestic airlines not to accept deliveries.3
Boeing, which topped Q1 deliveries and production estimates earlier this month, said last year it expected Chinese airlines to generate demand for thousands of new planes over the next two decades as the air travel industry grows in the country.
The plane maker also still faces a looming trial in June as it works with the U.S. Department of Justice on a revised guilty plea to a charge of defrauding the federal government over fatal 737 Max crashes in 2018 and 2019 after a previous agreement was rejected by a judge last December.
GE Vernova Shares Jump as Results Top Estimates
1 hr 55 min ago
GE Vernova (GEV) shares surged Wednesday after the firm’s first-quarter results topped analysts’ estimates.
The energy-focused former General Electric division reported earnings per share (EPS) of $0.91 on revenue of $8.03 billion. Analysts polled by Visible Alpha expected $0.73 and $7.53 billion, respectively.
The company again affirmed its 2025 revenue outlook of $36 billion to $37 billion. GE Vernova said its “guidance includes the impact of tariffs as currently outlined and resulting inflation, which is estimated to be approximately $300-$400 million, net of mitigating actions.”
GE Vernova CEO Scott Strazik said the company is “well-positioned to navigate the current dynamic environment.”
Shares of GE Vernova jumped 8% in early trading. They entered the day down less than 1% in 2025, although they have more than doubled since GE Vernova become a standalone company after spinning off from GE Aerospace (GE) in early April 2024.
GE Vernova’s stock has received a number of upgrades and price target raises in its first year as a public company. Analysts have said the company should benefit from rising demand for products to generate renewable energy.
Shares of all three former GE segments sank earlier this month amid concerns over the impact of the tariff disputes and growing trade war between the U.S. and China.
Tesla Levels to Watch as Stock Jumps Despite Weak Earnings
2 hr 50 min ago
Tesla (TSLA) shares soared in premarket trading as CEO Elon Musk’s comments during the EV maker’s earnings call late Tuesday overshadowed quarterly results that came in well below Wall Street expectations.
Musk told investors and analysts that, starting next month, he will be allocating far more of his time to Tesla and less to running the Department of Government Efficiency. The comments came after Tesla reported bigger-than-expected declines in revenue and profit, as the company’s automotive business slumped amid lower volumes and sagging average sales prices.
Tesla shares have faced heavy selling pressure in recent months over concerns that Musk’s active involvement in the Trump administration has hurt the company’s brand and sales. The stock is down 41% since the start of the year as of Tuesday’s close, significantly underperforming the S&P 500’s 10% drop over the same period. Tesla shares were up more than 7% at around $256 ahead of the bell on Wednesday.
Since breaking down from an ascending broadening formation last month, Tesla shares have consolidated within a pennant pattern ahead of the company’s quarterly results.
While trading volume eased last week, share turnover has generally increased since the stock found a local bottom in early March, indicating that larger market participants had positioned ahead of time for a significant post-earnings move. With the expected pop at Wednesday’s open, the stage has been set for a potential breakout above the month-long pennant pattern.
Investors should monitor key overhead areas on Tesla’s chart around $315 and $384, while also watching support levels near $206 and $170.
Read the full technical analysis piece here.
Major Index Futures Point to Sharply Higher Open
3 hr 28 min ago
Futures tied to the Dow Jones Industrial Average were up 1.7%.
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S&P 500 futures rose 2.3%.
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Nasdaq 100 futures jumped 2.8%.
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