Markets crash but these stocks soar: See why Goodyear, Molina, and Lamb Weston defied the chaos

While the broader U.S. stock market plunged on April 3, 2025—losing over $2.5 trillion in value amid a surprise global tariff announcement by U.S. President Donald Trump—several stocks bucked the trend and delivered substantial gains. Defying gravity in a market environment defined by panic selling, companies such as The Goodyear Tire & Rubber Company, Molina Healthcare, Lamb Weston Holdings, and Centene Corporation surged, driven by earnings momentum, defensive positioning, and investor preference for sectors with lower exposure to international trade friction.

The day marked the worst single-session decline since the early pandemic crash of June 2020, with the Dow Jones Industrial Average falling 4%, the S&P 500 dropping 4.8%, and the Nasdaq Composite losing nearly 6%. This sweeping selloff followed Trump’s announcement of a 10% universal import tariff, along with targeted tariffs against China and the European Union. Markets responded with heightened volatility, capital flight from tech and discretionary sectors, and a sharp pivot to healthcare, consumer staples, and infrastructure-related plays.

Why did Goodyear Tire & Rubber Company lead the top gainers?

Shares of The Goodyear Tire & Rubber Company soared 11.73% to close at $10.19, making it the day’s top performer among large-cap U.S. equities. The tire manufacturer’s spike came despite a 21% decline in its year-to-date performance, which had reflected weak demand in the original equipment manufacturer (OEM) market, high input costs, and concerns around inventory buildup.

What drove investor sentiment on April 3 was optimism around Goodyear’s ongoing restructuring. The company has been streamlining operations and focusing on cost savings while also ramping up its focus on electric vehicle-compatible tire technology, an area gaining traction with automakers transitioning to EV platforms. Goodyear’s exposure to the replacement tire market, which tends to be more stable in downturns, further strengthened its appeal as a near-term defensive investment.

How did Lamb Weston gain 10% despite industry headwinds?

Lamb Weston Holdings, Inc., a major supplier of frozen potato products, surged 10.01% to close at $59.57. The gain followed a better-than-expected quarterly earnings release that highlighted stronger pricing power, volume growth in North America, and stabilizing international demand. Lamb Weston had previously faced headwinds due to agricultural cost pressures and freight disruptions, but its latest results reassured investors about its margin resilience.

Food service and QSR channels—particularly in international markets—saw a post-pandemic revival, aiding revenue. While the stock had fallen over 25% in the past year, Thursday’s gain reflected renewed institutional interest in consumer staples with essential product demand and pricing flexibility. In an inflationary environment driven by tariffs, companies like Lamb Weston that manage input cost volatility and maintain steady volumes may become more attractive to yield-seeking investors.

What drove healthcare stocks like Molina, Centene, and Elevance to outperform?

Healthcare stocks were among the most sought-after safe havens in Thursday’s selloff. Molina Healthcare, Inc. rose 7.53% to $353.24, Centene Corporation gained 5.86% to $64.29, and Elevance Health, Inc. increased 5.44% to $452.69. These gains stem from the defensive nature of managed care and the reduced correlation of healthcare insurance revenues to global economic conditions.

Molina’s portfolio—focused on government-sponsored health programs such as Medicaid and ACA marketplace plans—offers predictable cash flow, even during economic downturns. With U.S. states continuing to expand Medicaid eligibility and prioritize affordable care access, Molina’s membership base has been growing steadily. Centene and Elevance similarly benefit from long-term contracts with federal and state governments, making their revenue streams comparatively insulated from geopolitical disruptions or import tariffs.

Why are Latin American and telecom stocks showing unexpected strength?

Several international names tied to Latin American economies posted notable gains. Grupo Financiero Banorte, S.A.B. de C.V., rose 10.20% to $38.88, and Corporación Inmobiliaria Vesta, S.A.B. de C.V., gained 9.17% to $24.89. Wal-Mart de México also advanced 5.38%. This comes as investors sought emerging market plays with strong local demand and reduced exposure to U.S.-China tensions.

PagSeguro Digital Ltd. and StoneCo Ltd., both focused on Brazilian fintech services, gained 6.38% and 6.15%, respectively, amid renewed interest in digital financial infrastructure. The companies had underperformed in 2024 due to regulatory overhang and inflationary stress, but April 3’s rally pointed to a strategic shift toward digital-first financial ecosystems.

Telecom and consumer goods multinationals like Danone S.A. (+5.65%), Tesco PLC (+6.38%), and Orange S.A. (+4.53%) also posted solid gains, benefiting from consistent dividend yields and global brand equity. These names appeal to investors during uncertain periods, as they offer cash flow stability and product demand inelasticity.

How did energy, infrastructure, and renewables perform amid the downturn?

Select infrastructure and renewable energy companies performed well as investors reallocated toward hard assets and long-duration income streams. First Solar, Inc. rose 4.94% to $136.23, benefiting from speculation that the European Union and U.S. might accelerate solar subsidies in response to geopolitical trade disputes and elevated energy costs.

American Tower Corporation gained 4.72% while SBA Communications added 5.26%, fueled by investor optimism around infrastructure reliability and digital connectivity needs. These real estate investment trusts (REITs) have historically offered shelter in downturns and benefit from long-term lease structures. Their relevance has only grown with increased data usage and AI computing workloads.

National Grid plc (+5.49%), SSE plc (+4.71%), and Rheinmetall AG (+4.77%) rounded out the sectoral strength. National Grid and SSE, both European utilities, benefited from currency tailwinds and resilient cash flows. Rheinmetall’s gain reflects rising investor interest in defence contractors amid growing NATO-related military spending.

What triggered the April 3 market crash and how will it affect sectors going forward?

The market’s historic plunge came hours after President Trump’s announcement of a 10% tariff on all imports, with more punitive tariffs aimed at Chinese electronics, European autos, and Asian steel. Investors interpreted the move as a reversion to protectionist trade policy, raising alarm about retaliatory measures and long-term inflation pressures.

This tariff-driven shockwave is expected to particularly hurt technology, automotive, and semiconductor sectors. Companies like Apple and Nvidia—already under scrutiny for their China supply chains—saw heavy losses as investors factored in higher component costs and demand compression. Automakers also face rising parts prices, which could weigh on consumer affordability and overall vehicle sales volumes.

The announcement came at a time when the U.S. manufacturing sector was already showing signs of contraction. The ISM Manufacturing Index for March fell to 46.7, marking the sixth straight month of decline. Factory orders and capital expenditure plans have softened across industrial verticals.

What’s the Federal Reserve’s likely response and what should investors expect?

The Federal Reserve now faces a dual challenge: managing persistent inflation while responding to signs of trade-induced economic stress. With the new tariffs likely to raise import costs and consumer prices, the central bank’s room for dovish intervention may be limited. However, if trade tensions dent business investment and employment growth, the Fed may pause further rate hikes or even consider policy easing in late 2025.

Investor sentiment has sharply deteriorated, with volatility indexes spiking and capital moving toward Treasuries, gold, and other traditional hedges. That said, the strength in sectors like healthcare, consumer staples, and renewables highlights the potential for targeted gains—even in bear markets—when companies demonstrate pricing power, regulatory support, or structural demand.

As the U.S. navigates an increasingly fragmented global trade environment, expect investors to prioritise domestic-focused, policy-resilient companies over cyclical or export-reliant businesses. The April 3 session may prove to be a harbinger of further bifurcation in equity performance, where fundamentals and strategic alignment with macro themes outweigh broader index trends.