Stocks on the New York Stock Exchange plummeted after President Donald Trump announced sweeping tariffs, causing major indices to experience significant losses. The S&P 500, Dow Jones Industrial Average, and Nasdaq Composite all dropped sharply, with the S&P 500 entering correction territory. Multinational companies like Nike and Apple saw steep declines, reflecting the market’s concerns over the potential impact of the tariffs on global trade.

Investors turned to bonds for safety as uncertainty loomed over the economy. The benchmark 10-year Treasury yield fell, indicating a flight to safety amid the market turmoil. Analysts warned of a possible recession if the new tariff rates remained high, with fears of increased inflation and reduced economic growth.

The tariff announcement sent shockwaves through various sectors, with bank stocks, small-cap stocks, and luxury brands all taking a hit. Companies heavily reliant on imports faced significant challenges, with projections of declining earnings per share and potential price increases for consumers. The market reacted negatively to the tariffs, with the S&P 500 wiping out nearly $2 trillion in value in a single trading session.

International markets were also impacted, with Asian and European stocks declining following the tariff announcement. Countries like India, Japan, and China saw their stock markets react to the news. The euro strengthened against the dollar, and the Japanese yen appreciated as investors sought safe-haven assets amid the market uncertainty.

The market’s reaction to the tariffs underscored concerns about trade tensions and their potential impact on the global economy. Analysts cautioned that the uncertainty surrounding the tariffs could lead to increased market volatility in the coming months. The abrupt market movements highlighted the importance of clear and consistent trade policies to maintain investor confidence and stability in financial markets.