US stock futures plunge amid Trump trade war fears

Trump announced connected Wednesday 10% tariff connected each countries that went into effect implicit the weekend. Even higher tariffs connected a database of circumstantial countries that included galore Asian nations are acceptable to commencement April 9. China deed back, matching the 34% U.S. tariff with its ain connected each U.S. imports, portion different countries astir the satellite denounced Trump's moves and threatened their ain retaliatory tariffs.

The surprisngly assertive retaliatory tariffs pummled the banal market. The blue-chip Dow posted back-to-back losses of much than 1,500 points for the archetypal clip ever, including a 2,231-point freefall connected Friday. The wide S&P 500 posted its biggest one-day nonaccomplishment connected Friday since March 2020, the commencement of the Covid-19 pandemic, and is edging adjacent to a carnivore market. A carnivore marketplace is defined arsenic astatine slightest 20% beneath its caller peak. The tech-heavy Nasdaq entered a carnivore market.

Even with the banal marketplace drubbing, Trump's medication has stood firm. Trump continues to archer Americans to "hang tough." Commerce Secretary Howard Lutnick told CBS News tariffs would not beryllium postponed. Trasury Secretary Scott Bessent said successful a NBC interrogation 50 countries person approached the medication for dialog but warned these could instrumentality time. Bessent besides said helium didn't judge tariffs would pb to recession.

Futures connected the blue-chip Dow were past -3.75%, broad-market S&P 500 futures dived -4.02%; and tech-heavy Nasdaq plunged -4.36%.

"While investors are nary alien to crisp downside volatility – 2020 and 2022 some produced carnivore markets – the velocity of the diminution since Thursday greeting is unique, and is peculiarly unsettling," said Bankrate Chief Financial Analyst Greg McBride. “Investors should defy the impulse for the knee-jerk absorption of selling."

Stocks aren't the lone plus losing worth quickly. Oil prices tumbled connected fears a recession would dent request astatine the aforesaid clip the Organization of the Petroleum Exporting Countries and its allies program to summation accumulation adjacent month.

Bitcoin besides fell beneath the cardinal $80,000 level overnight.