US markets tumble: Trump’s new tariffs spark biggest Dow wipeout since 2020

Wall Street suffered its worst day since the 2020 Covid crash as US stocks plummeted on Thursday, shedding more than$ 2 trillion in market value following President Donald Trump’s sweeping tariffs on foreign imports. The S&amp, P 500 tumbled 4.8 %, the Dow Jones Industrial Average lost over 1, 600 points ( 4 % ), and the Nasdaq plunged 6 %, rattling investor confidence and fueling recession concerns.
Economics warned of continuous economic uncertainty as companies prepare for higher costs and potential hostile methods. Shops, tech companies, banks, and carriers bore the brunt of the downturn, with big businesses seeing double-digit declines. ” This is a game change, not only for the US market but for the world economy”, said Olu Sonola of Fitch Ratings, predicting a higher risk of recession.
Despite the tumult, Trump defended his taxes, claiming they had eventually strengthen the economy. ” The businesses are going to increase, the property is going to increase, the country is going to boom”, he insisted. As owners reeled, Trump attended a LIV Golf function and traveled to Mar-a-Lago, while White House officials scrambled to support the plan.

Investors chuck shares as downturn fears mount, Retail, technology, finance areas hit hardest

The pullback impacted nearly every business. Shops, tech firms, carriers, and businesses were among the worst players as fears grew that consumers would cut spending and reduce need.
” Certainly, the taxes are higher and worse than people expected”, said Tom Cahill of Ventura Wealth Management. ” It’s going to take some time to sort out specifically what the results are going to be, not only on the market, but also on business income”.
Consumer spending, which makes up 70 % of US economic activity, is expected to slow if companies pass on tariff costs. ” If consumers pull back their wasting because of higher prices, companies will make fewer goods and financial growth may stall or contract”, AP reported.

Break of worst-performing businesses

Airlines

Airlines projected solid income earlier in the year, but rising expenses could deter customer go:

Clothing and shoes

Most US clothing manufacturers rely on outside manufacturing:

Retailers

Large importers suffered significant hits:

Technology

Global supply chains introduce tech companies to taxes:

Banks

Worries about lower borrowing and investing:

Restaurants

Reduced voluntary paying hits food bars:

Automakers

Somewhat insulated from the tariffs—though also impacted:

Trump defends taxes, says “markets did growth”

However, as global industry reeled from his broad taxes, US President Donald Trump on Thursday defended the walk, claiming it would inevitably strengthen the economy.
” I think it’s going quite well. It was an activity like what a person gets operated on, and it’s a great thing”, Trump told investigators. ” We have six or seven trillion money coming into our nation … The businesses are going to increase, the property is going to increase, the country is going to boom”.
Despite US companies suffering their worst moment since 2020, Trump remained angry. On Truth Social, he posted:” The operation is above! The patient lived and is healing … The individual will be far stronger, bigger, better, and more resilient than ever before. Make America great
again!”
On Wednesday, Donald Trump announced sweeping” Liberation Day “tariffs, including a 10 % base duty on most countries, 20 % on the EU, 25 % on South Korea, and 24 % on Japan.
Experts warned of a looming crisis and inflation dangers”. Here you have a great amount of uncertainty… that’s why the industry is heading for a bear business,” said Adam Sarhan of 50 Park Investments.
As businesses tumbled, Trump attended a LIV Golf tournament before heading to Mar-a-Lago, while White House leaders defended the taxes on news sites.

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