Stocks tumble as Trump’s tariffs roil global markets

The Dow, S&P 500 and Nasdaq fell sharply after President Donald Trump slapped tariffs on a host of countries Wednesday, including China, Japan, India and Europe.

The double-digit tariff hikes rippled through world markets and economists are warning that the risk of recession is climbing.

Click over to FOX Business for live market boards and check back here for updates throughout the day.

Dow plunges over 1,600 points on Trump tariff concerns

4 p.m. ET: Selling of U.S. stocks accelerated Thursday in the final hour of trading after President Donald Trump announced his latest plan for tariffs, sparking fears of a global  trade war.

According to FOX Business, the Dow Jones Industrial Average plunged more than 1,600 or over 3%, while the S&P 500 and Nasdaq Composite fell more 4% and 5%, respectively.

For the Dow and S&P 500, it is the worst day since 2022, for the Nasdaq the worst since 2020.

The hardest hit sectors were consumer discretionary, energy and technology; consumer staples notched modest gains.

Posted by FOX Business Team

What is the time frame for Trump's tariffs leading to price increases?

3 p.m. ET: President Donald Trump's tariff plans are moving forward by levying taxes on imported goods that economists say will lead to price increases for consumers that may push inflation higher and complicate the Federal Reserve's efforts to stabilize the pace of price growth, FOX Business reported.

With Trump's plans for a 10% tariff on all imports plus additional reciprocal tariffs on U.S. trading partners, as well as sector-specific tariffs such as the 25% tariff on imported vehicles and auto parts, either in force now or taking effect soon, price hikes related to tariffs could soon be reflected in the inflation data the Fed is monitoring.

Trump's 25% tariffs on imported vehicles and auto parts are due to take effect on April 3, and the auto tariffs are likely to be passed on to consumers quickly. An analysis by JPMorgan found that "given strong pricing power, automakers will be able to pass on most of the tariffs" and that those auto tariffs "should boost vehicle prices by about 5%," which they added would be on top of previously announced tariffs.

Posted by FOX Business Team

Defense stocks buck the selling

1:30 p.m. ET: U.S. stocks, while still down sharply early afternoon, are off the lows of the session. The Dow, for example, bounced off losses of more than 1,500 points.

Still, investors took cover, buying a handful of more defensive names including AT&T, Goodyear, Coca-Cola, Kroger and Philip Morris.

Consumer staples such as food and drink are considered safe havens during times of market volatility.

Coke is also one of Warren Buffett's longtime, top positions.

Posted by FOX Business Team

Sector-by-sector stocks

1:20 p.m. ET: The S&P 500 is down 3.7% in afternoon trading, more than other major stock markets, and at its bottom in the morning was on track for its worst day since COVID struck in 2020. The Dow Jones Industrial Average is down 1,228 points, or 2.9%, as of 1:08 p.m. Eastern time, and the Nasdaq composite is 4.8% lower.

Here's a breakdown of some of the market's worst performing sectors and companies as of midday Thursday:

Airlines

Airlines had been projecting a strong year for profits. However, if Americans are faced with higher prices for essentials, economists say that could put a crimp in their travel budgets.

• United Airlines, down 11.6%
• American Airlines, down 8.5%
• Delta Air Lines, down 8.6%

Clothing and shoes

Most major shoe and clothing makers have their products made outside of the U.S., meaning they will have to pay a tariff, or import tax, on all the goods that are shipped back into the country for sale here.

• Nike, down 10.4%
• Under Armour, down 17.4%
• Lululemon, down 11.1%
• Ralph Lauren, down 15.6%
• Levi Strauss, down 11.5%

Retailers

Big box and online retailers also import a massive amount of their inventory from outside the U.S.

• Amazon, down 7%
• Target, down 9.5%
• Best Buy, down 14.8%
• Dollar Tree, down 8.4%
• Kohl's, down 24.4%

Technology

Companies that make and sell computers, smartphones and other technology source many of their parts from abroad. Some manufacture their entire products overseas, meaning they will have to pay a tariff when those products are shipped back for sale to consumers.

• Apple, down 8%
• HP, down 13.1%
• Dell, down 15.4%
• Nvidia, down 6.3%

Banks

If the economy slips into a recession, households and businesses will be less likely to borrow money as demand for products and services decline.

• Wells Fargo, down 7.5%
• Bank of America, down 8.9%
• JPMorgan Chase, down 5.7%

Restaurants

American consumers, feeling less confident about their financial futures this year, have already been pulling back on spending at restaurants as they tighten their budgets and prioritize only essential goods and services.

• Starbucks, down 10.8%
• Cracker Barrel, down 11.1%
• Cheesecake Factory, down 7.3%

Automakers

Somewhat surprisingly, automakers didn't get hit as hard most other sectors did on Thursday. That could be because most of Ford, GM and Stellantis’ steel and aluminum — which Trump previously announced tariffs on — already comes from the United States, reducing the direct impact the companies would feel from higher duties.

• General Motors, down 3%
• Ford, down 4%
• Tesla, down 4.4%
• Stellantis, down 7.9%

Posted by The Associated Press

Slight recovery after plunge

12:15 p.m. ET: The Dow Jones Industrial Average has dropped more than 1,300, or 3%, while the S&P 500 and Nasdaq Composite has fallen more 3.6% and 4.7%, respectively. That's up slightly from the morning.

Dow down over 1,500

11:25 a.m. ET: The Dow Jones Industrial Average has plunged more than 1,500, while the S&P 500 and Nasdaq Composite has fallen more than 4.3% and over 5.6%, respectively.

The hardest hit sectors were consumer discretionary, energy and technology, while consumer staples notched modest gains.

Posted by FOX Business Team

Microsoft holds up

11:15 a.m. ET: Microsoft shares are down Thursday but not as much as the broader market as of mid-morning. The tech-giant was down over 2% compared to the Nasdaq Composite's 5% drop.

Still, year-to-date, the stock is off over 11%.

Posted by FOX Business Team

Crypto hit in broad global selloff

10:05 a.m. ET: Even before Trump's tariffs, cryptos lagged, with Bitcoin off nearly 7% this year and down over 18% from its all-time high of $106,734.51 on December 17, 2024, per Dow Jones Market Data Group.

Posted by FOX Business Team

Dow plunges over 1,000 points on Trump tariff concerns

9:35 a.m. ET: Stocks tumbled on Thursday after President Donald Trump announced his latest plan for tariffs, sparking fears of a global  trade war.

The Dow Jones Industrial Average plunged more than 1,000, while the S&P 500 and Nasdaq Composite fell more than 3.5% and over 4%, respectively.

Trump announced the latest tariffs on Wednesday afternoon during an event at the White House Rose Garden, which he said is going to focus on imposing reciprocal tariffs on U.S. trading partners.

The president indicated that aside from the reciprocal tariffs, the administration will establish a minimum baseline tariff of 10%.

Posted by FOX Business Team. Click over to FOX Business for more.

Trump's reciprocal tariffs: What to know

President Trump declared Wednesday that "foreign trade and economic practices have created a national emergency" and his tariffs will "strengthen the international economic position of the United States and protect American workers."

During his Rose Garden remarks, Trump held up a poster board showing the combined rate of tariffs and other non-tariff barriers that other countries impose on U.S. exports alongside the reciprocal tariffs the Trump administration plans to levy on imports from those countries. Among those included were:

• China: 67% tariffs and other trade barriers on U.S. goods; 34% reciprocal tariffs
• European Union: 39% tariffs and other trade barriers on U.S. goods; 20% reciprocal tariffs
• Vietnam: 90% tariffs and other trade barriers on U.S. goods; 46% reciprocal tariffs
• Japan: 46% tariffs and other trade barriers on U.S. goods; 24% reciprocal tariffs
• India: 52% tariffs and other trade barriers on U.S. goods; 26% reciprocal tariffs
• South Korea: 50% tariffs and other trade barriers on U.S. goods; 25% reciprocal tariffs

Posted by Eric Revell

EconomyStock MarketTariffs