On Tuesday, the Dow Jones lost 320 points (-0.84%) while the S&P 500 (IVV) lost 1.57%. Three stocks rallied: UnitedHealth (UNH), CVS Health (CVS), and Humana (HUM).
HUM stock gained 10.69% after a favorable medicare rate decision. Next year, government payments to Medicare Advantage will increase by around 5%. This is good news for the aforementioned firms. It also benefits Elevance (ELV) and Centene (CNC). Investors do not need to worry about spending cuts driven by DOGE.
Stocks that fell on the day included Albemarle (ALB). The lithium miner closed at a 52-week low after dropping by 12.5%. A study indicated that Chile has 28% more lithium than previously estimated. The excess supply would hurt lithium prices.
Microstrategy (MSTR) dropped by 11.3%. The firm borrowed to buy bitcoin (BTC-USD). BTC prices are weakening, closing at $76,033. Investors are selling BTC to de-leverage or to cover losses from stock holdings.
Enphase (ENPH) dropped by 11.19% to close at $49.52. The firm will post quarterly results on April 22.
Market sentiment will likely worsen so long as the U.S. enacts its tariffs. Escalations and a lack of meaningful discussions among its trade partners will hurt stock markets. Markets will continue to discount stocks to price in the uncertainties ahead.