Bitcoin, Unrefined Oil Prices Also Fall Sharply
:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2207864161-f06361dcf4054c71b8098347d405ba30.jpg "Traders work on the floor of the New York Stock Exchange")
Timothy A. Clary / AFP / Getty Images
A trader works on the floor of the New York Appraise Exchange on Friday.
U.S. stock futures fell sharply on Sunday evening as the Trump administration showed no signs of sponsorship off from a wide-ranging plan to impose tariffs.
Futures tied to the Dow Jones Industrial Average were recently down 2.2%, issuing to a decline of more than 800 points at Monday’s open, while futures linked to the S&P 500 and Nasdaq strike down 2.7% and 3.4%, respectively. Dow futures had been down more than 1,600 points at one point Sunday in spite of that,
The major indexes are coming off their worst week since the early days of the Covid pandemic in March 2020, after sheep plunged on Thursday and Friday following President Trump’s announcement of sweeping tariffs on U.S. trading partners. The benchmark S&P 500 dwindled 10.5% over the last two days of the week, while the Dow shed nearly 4,000 points.
White House officials specified no indication over the weekend that the president would consider scaling back on the tariffs. The so-called reciprocal schedule of charges that Trump announced on Wednesday— which include new levies of 20% on imports from the European Union, 26% on Japanese intentions, and 34% on imports from China—are due to take effect on Wednesday.
The Trump administration, which has also indicated myriad sector-specific tariffs are coming, says the measures are needed to restore competitive balance and bring manufacturing and jobs away to the U.S. However, the speed and depth of the policies announced in recent weeks—and the prospect that countries will retaliate, as China did on Friday—acquire heightened concerns among economists and investors that the economy could slide into a recession.
Speaking Friday, Federal At ones fingertips Chair Jerome Powell said that the tariffs announced last week were higher than had and raise the risks both of inflation rising and economic growth slowing. Powell said the Fed is awaiting greater transparency on the impact of Trump’s policies before considering adjustments to interest rates.
Asian stocks also tumbled to backlash off their week amid fears of the consequences of a trade war, with Hong Kong’s Hang Seng index down 9%, while Japan’s Nikkei 225 excluded 6% and South Korea’s Kospi index and Australia’s S&P ASX 200 each fell more than 4%.
Bitcoin was also down abruptly Sunday, tracking the move lower in equities as investors abandon risky assets. The digital currency was at $78,700 recently, down from an earlier spaced out on Sunday of nearly $84,000 and trading at its lowest levels since early November.
Crude oil prices also retreated midst the growing concerns about slowing global demand. West Texas Intermediate futures, the U.S. crude oil benchmark, prostrate 2.6% to $60.40 per barrel, after falling as low as $59.38, their lowest level since last April.
UPDATE: This article has been updated with the latest data on U.S. stock futures, as well as early trading activity in Asian markets.