US stocks fall as GDP shrinks, Big Tech profits on the radar

• US GDP sees first contraction since 2021
• Dow Jones falls 1,5% on tariff tensions
• Big Tech profits and Fed inflation in focus

US stock markets fell sharply on Wednesday (30), pressured by the contraction in the United States' Gross Domestic Product (GDP) and expectations of the release of earnings reports from major technology companies. The movement was also influenced by trade tensions between the US and China, which continue to have an impact on investors' decisions.

The S&P 500 fell 1,8%, while the tech-heavy Nasdaq fell 2,3%. The Dow Jones Industrial Average lost 1,5%, snapping its longest winning streak in 2025.

The negative result comes at the end of April, a month marked by the escalation of tariffs announced by Donald Trump and the deterioration in trade relations with Beijing. So far, the Dow has accumulated a monthly loss of 3,5%, while the other indexes have recorded more moderate falls.

The main highlight of the day was the release of the first reading of the US GDP for the first quarter, which indicated a 0,3% contraction in the annualized rate. The data contrasts with the 2,4% growth in the fourth quarter of 2024 and disappoints analysts' projections, who expected a slight contraction of 0,1%. According to the US Bureau of Economic Analysis, the performance reflects the increase in imports, anticipated by companies in view of the imposition of new tariffs.

In the labor market, the ADP report also showed signs of a slowdown, indicating a decline in hiring in the private sector. The institution highlighted that companies are facing a more “difficult” environment, with a generalized feeling of “malaise.”

Also on Wednesday, investors will be waiting for data on the core Personal Consumption Expenditures (PCE) index, the Federal Reserve's preferred inflation metric, for March. The result is seen as key to anticipating the economic effects of recent tariff measures.

Trump reiterated that “China will bear the cost of the tariffs,” downplaying the impact on American consumers. Sources familiar with the matter told Reuters that the Chinese government is preparing a list of U.S. products that could be exempted from the 125% tariff, suggesting a selective relief strategy.

At the time of publication, the price of Bitcoin was quoted at US$93.908,40 with a drop of 1% in the last 24 hours.