Merchants work on the New York Stock Exchange Prosecutor’s Office (NYSE) in the New York financial district on March 4, 2025.
Timothy A. Clary | AFP | Getty images
American actions saw the losses on Tuesday as President Donald Trump’s prices on the main trade partners took effect and caused reprisal measures, degenerating the fears of a world trade war and a national economy in distress.
THE Industrial average Dow Jones Fell 608 points, or 1.4%, the building of almost 650 points on Monday. THE S&P 500 lose 1.9%. THE Nasdaq Composite Lost 1.6%, putting the technological index on the right track to close in correction territory, which is at that time that it fell by 10% compared to a recent summit.
Nasdaq Composite, 1 year
Tuesday’s nose comes after the United States has accumulated 25% of tasks on Canada and Mexico that came into force at midnight. Trump also slapped an additional 10% price on Chinese products.
China retaliated with additional prices of up to 15% on certain American products. Canadian Prime Minister Justin Trudeau said his country would also put a 25% levy from American products. Mexican President Claudia Sheinbaum said the neighbor in the South of the United States would respond with prices and other tools that would be announced this weekend.
Actions of GM And Ford were 3% and 2%, respectively, relying on the decreases observed this year in the middle of the concerns that prices would increase costs. Chipotlewhich gets approximately half of its lawyers in Mexico, slipped more than 2%.
The prices caused a large sale on Tuesday. About 4 S&P 500 actions are exchanged, while the small capitalization has concentrated Russell 2000 lost more than 2%.
The technological names have felt the largest of the transfer of investors in American actions, stressing the fall of the NASDAQ. In particular, darling artificial intelligence Nvidia Slide more than 2% in the session. This pushed the loss of Megapcap Tech Titan for 2025 to around 17%, including a drop of more than 14% by scoring in the last five sessions only.
This week’s sale pushed the S&P 500 in the red for 2025 and the DOW near Flat over the year. Since investors hoped that a last -minute agreement could be concluded to get around full taxes on Mexico and Canada, losses collapsed during the session on Monday after Trump confirmed that long -awaited levies were coming. Associated with recently published economic data, prices have given market players reasons to worry about the health of the American economy.
“Although Tuesday prices are a blow, it is not very clear over the duration of these prices,” said Clark Geranen, chief strategist of the market at Calbay Investments. “We tend to believe that it is more a tactic of negotiation and not the beginning of a long and reciprocal trade war. However, in these situations, investors sell first and ask questions later.”
With the losses of Tuesday, the S&P 500 is now negotiated below what it ended on election day in November, when the voters went to the polls to return Trump to the post. Merchants will closely monitor Trump’s address at Congress on Tuesday evening for statements on prices, which were a main pillar of his campaign.
