Market Update into March 10th: Market Slump Deepens

3 mins read

Markets faced heavy selling pressure this week as tariff concerns continued to fuel downside volatility, dragging major indexes to six-month lows. Adding to the uncertainty, the unemployment rate ticked higher, but Fed Chair Jerome Powell reassured investors that broader job market indicators remain solid and balanced. The key question now—can markets find a bottom amid growing economic uncertainty?

Next week’s focus turns to inflation, with PPI and CPI reports set to influence how the markets react at their key moving averages. With volatility already elevated, these data points could determine whether the sell-off deepens or buyers regain control.

Weekly Analysis

SPY (SPDR S&P 500)

After a bearish week, SPY tested its 50-week simple moving average for the first time since October 2023 and closed at $575.92 (-3.02%). While price action remains pressured, our custom RSI ensemble indicator shows a slightly oversold reading for the first time since April 2024, when SPY formed a multi-month low. This suggests that oversold conditions across multiple timeframes may be setting the stage for a potential short-term rebound.

QQQ (Invesco QQQ Trust)

The QQQ ETF briefly broke below its 50-week simple moving average this week but managed to bounce back, closing at $491.79 (-3.21%). This level is crucial as it marked the low of the August 5th carry trade crash. At its lowest, QQQ had fallen just over 11% from its recent peak, briefly entering official correction territory, but a late-week recovery kept it above the 10% threshold. With the same slightly oversold RSI ensemble reading as SPY, traders are left wondering if this is a bottom or the start of a long-term downtrend.

IWM (iShares Russell 2000)

The IWM ETF took the hardest hit among the major index ETFs this week, closing at $205.95 (-4.04%). Unlike SPY and QQQ, it started the week already below its 50-week simple moving average, signaling continued weakness. Our RSI ensemble indicator has been flashing oversold conditions for two consecutive weeks, yet buyers are attempting to defend a key high-volume node on the volume profile.

Earnings

Notable Results

AVGO (Broadcom)

EPS: $1.60 vs $1.49 est
REV: $14.92B vs $14.61B est

COST (Costco)

EPS: $4.02 vs $4.10 est
REV: $63.72B vs $63.13B est

CRWD (CrowdStrike)

EPS: $1.03 vs $0.85 est
REV: $1.06B vs $1.03B est

MRVL (Marvell Technology)

EPS: $0.60 vs $0.59 est
REV: $1.82B vs $1.80B est

SE (Sea Limited)

EPS: $0.39 vs $0.40 est
REV: $4.95B vs $4.62B est

TGT (Target)

EPS: $2.41 vs $2.26 est
REV: $30.91B vs $30.84B est

ONON (On Holding)

EPS: $0.38 vs $0.18 est
REV: $691.47M vs $594.49M est

KR (Kroger)

EPS: $1.14 vs $1.11 est
REV: $34.31B vs $34.51B est

BBY (Best Buy)

EPS: $2.58 vs $2.40 est
REV: $13.95B vs $13.70B est

AZO (AutoZone)

EPS: $28.29 vs $29.39 est
REV: $3.95B vs $3.98B est

ANF (Abercrombie & Fitch)

EPS: $3.57 vs $3.52 est
REV: $1.59B vs $1.56B est

MDB (MongoDB)

EPS: $1.28 vs $0.66 est
REV: $548.40M vs $519.60M est

HPE (Hewlett Packard Enterprise)

EPS: $0.49 vs $0.49 est
REV: $7.85B vs $7.82B est

What’s Happening Now

BABA Alibaba
Market rotation rolled on as all major indexes closed the week lower while defensive names continued to find buyers. The Mag 7 struggled, with META the lone name still holding YTD gains and GOOG the sole gainer on the week. TSLA remains the worst performer—not just in the Mag 7, but among ALL mega caps (+$200b). Meanwhile, names like MCD, ABBV, and PM continue to climb, while BABA continues to rally, pushing YTD gains over 66%.

bubble chart on TrendSpider of the Mag 7

MSFT Microsoft
Microsoft sits in the middle of the Mag 7 pack YTD, trading down ~7% and trailing only AAPL and META. But momentum could be shifting. MSFT is entering its strongest four-week stretch of seasonality just as price finds support at a key level of support. Behind the scenes, Microsoft trades at its cheapest price-to-earnings valuation since the market bottomed in October 2023. Is there a reversal in the making?

OKTA Okta Inc
Okta delivered strong Q4 FY25 results, turning profitable with $23M in net income and $2.61B in annual revenue, up 15% year-over-year. AI-powered security tools are driving enterprise adoption, enhancing authentication and zero-trust solutions. Analysts took notice, issuing 10 buy ratings and 16 target increases this week, with the highest target at $140, representing a 25% upside from Friday’s close.

Believe it or not, this is just a fraction of what happened in the markets this week. For a full rundown delivered straight to your inbox every weekend, sign up for The Official Trendspider Newsletter!