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Week Ahead: Reciprocal Tariffs - And so its begins...

  



Week Ahead: 31 March 2025

The coming week will be pivotal as markets assess global reactions to the United States' implementation of reciprocal tariffs and whether President Trump signals any recalibration of trade policy.

Among the various risks, the psychological impact on consumer confidence is particularly significant. As evidenced by China’s experience, restoring consumer sentiment and reigniting domestic consumption is no easy task.

We do not have any short-term (tactical) ideas for the week ahead. Instead, we will be closely monitoring demand-supply dynamics to identify any short- and long-term opportunities.

We wish all our Muslim readers Selamat Hari Raya Aidilfitri 

Medium Term:
S&P 500 (SPX): The S&P 500 continues to hover around the 5,500 level (Fibonacci 1.618% support) and is showing increasing evidence of potential to test the resistance zone at 5,780–5,840, where previous support has turned into resistance.

Straits Times Index (STI): The Straits Times Index (STI) reached our target level of 4,000 before turning lower. This reversal, combined with the narrow daily range observed during the recent upward move, suggests a potential short-term pullback. From a technical perspective, we expect the index to trade lower and retest its immediate support around the 3,850 level.

Hang Seng Index (HSI): The China A50 Index (grey line) continues to trend upward. While our long-term outlook remains bullish, our short term cautious view in the short term remains.

Long Term:
S&P 500 (SPX) Neutral (Upward trend remains intact, downward trend could be developing)
Hang Seng Index (HSI) Upward Trend
Straits Times Index (STI) Upward Trend

Headlines Next Week:
- US jobs Report, ISM PMIs, Reciprocal Tariffs Starts, 
- China Caixin PMIs, 
- SG S&P PMI

Disclaimers apply



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