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The S&P 500 retreated on Monday, extending February’s rout and turning red for the year after President Donald Trump’s confirmation of forthcoming tariffs ratcheted up economic concerns.
The Dow Jones Industrials tumbled 649.67 points, to close Monday at 43,191.24.
The much-broader index forked over 104.78 points, or 1.8%, to 5,849.22
The NASDAQ Composite stumbled 497.08 points, or 2.6%, to 18,350.19, weighed down by Nvidia’s decline of more than 9%.
All three indexes traded higher earlier in the session, with the Dow at one point up nearly 200 points. Stocks took a notable leg down in afternoon trading following Trump’s reiteration that 25% levies on imports from Mexico and Canada would go into effect on Tuesday, dashing investors’ hopes of a last-minute deal to avert the full tariffs on the two U.S. allies.
Trump also signed an action to impose an additional 10% tariff on China, according to an administration official.
A risk-off move ensued, hitting everything from technology to small caps. Beyond Nvidia, one-time popular artificial intelligence plays like Broadcom and Super Micro Computer also plunged.
Elsewhere, cryptocurrencies rallied after Trump announced the creation of a strategic crypto reserve for the U.S. that will include bitcoin and ether. Bitcoin briefly jumped 10% to nearly $94,000 after dipping to a three-month low under $80,000 on Friday. Shares of crypto exchange stocks including Coinbase, Robinhood and MicroStrategy rose.
Prices for the 10-year Treasury popped, lowering yields to 4.16%, compared to Friday’s 4.21%. Treasury prices and yields move in opposite directions.
Oil prices slid $1.48 to $68.28 U.S. a barrel.
Prices for gold strengthened $51.30 an ounce to $2,899.80 U.S.
