Stocks closed lower across the board yesterday.

While the markets did not react negatively to Friday's announcement of a 10% global tariff (following the Supreme Court's ruling that IEEPA does not give the President the authority to impose tariffs), the markets appeared to take a different view yesterday after the Saturday announcement of a 15% tariff.

The difference between 10% and 15% was likely not the culprit, but the potential confusion as to who will pay what and when. Some countries were paying less than 15% before Friday. Others more. There were exceptions as well (countries and products). And some deals were still in the process of being finalized. How will the new 15% affect that?

There will be a degree of confusion, and it will take some time to sort out. The confusion aspect is likely what weighed on shares rather than the tariff percentage.

Other headlines contributed to the weaker tone yesterday, including reports of violent unrest in Mexico following the death of cartel leader "El Mencho." While it was an operation carried out by Mexican authorities, the U.S. did provide intelligence to help in the effort.

Historic winter storms in the Northeast, which dumped over 2 feet of snow in some places, and caused travel bans and flight cancellations didn't help.

Add in ongoing concerns over a potential U.S. strike on Iran, and it made for a wobbly market.

In other news, yesterday's National Activity Index came in at -0.21 (for December), vs. last month's 0.18. The 2-month moving average was at -0.29 vs. last month's -0.06 pace.

The Chicago Fed National Activity Index (for January), rose to 0.18 vs. last month's -0.21. The 3-month moving average was at -0.06 vs. last month's -0.29.

The Dallas Fed Manufacturing Survey for February showed the General Activity Index at 0.2 vs. last month's -1.2. The Production Index was at 12.5 vs. last month's 11.2.

And Factory Orders (for December), came in as expected at -0.7% m/m, which was down from last month's 2.7%.

Today we'll get the Case-Shiller Home Price Index, the FHFA House Price Index, the Richmond Fed Manufacturing Index, and Consumer Confidence.

We'll also get the State of the Union speech tonight. That can move the market.

Although, Wednesday's earnings by NVIDIA (after the close) is likely the main event for the market this week. They have shown 10 quarters in a row of at least double-digit growth rates (two and a half spectacular years of growth). Five of those quarters were triple-digit growth rates, with one quarter showing quadruple-digit growth. Another fantastic quarter could potentially reset the AI trade, putting it back on the right track and dispelling the notion that AI is in a bubble.

But we'll get plenty of other big name, non-tech companies on deck to report as well, including Home Depot today (before the open); Salesforce on Wednesday (after the close); Rocket Lab on Thursday (after the close); and Berkshire Hathaway on Friday.

Stocks are off to a weak start this week. But plenty of time for that to turn around.

See you tomorrow,