Home Stock market today: Dow, S&P 500, Nasdaq crater after China’s tariffs turn up the trade-war heat

Stock market today: Dow, S&P 500, Nasdaq crater after China’s tariffs turn up the trade-war heat

  • Loss on all three major averages accelerated on Friday with the Dow Jones Industrial Average (^DJI) tanking more than 1,300 points and the S&P 500 (^GSPC) on pace to notch its worst week since 2020.
  • Meanwhile the Nasdaq Composite (^IXIC) dropped more than 4.4%. The tech-heavy index was on pace to close in bear market territory, or more than 20% off its all-time record in February.
  • All eleven sectors of the S&P 500 were lower, with Energy stocks leading the declines as oil tumbled. Financials also sank along with Industrials, Tech and Consumer Discretionary stocks.
  • Yahoo Finance’s Brian Sozzi scoured the Wall Street community’s avalanche of research notes from the past 48 hours to see what analysts are saying about the winners and losers of President Trump’s trade war.
  • First up, the good news. Analysts at Evercore ISI and RBC Capital Markets found seven stocks that are relatively tariff-proof.
  • They noted that auto parts sellers like Genuine Parts Company (GPC) and O’Reilly Automotive (ORLY) are well-positioned for tariffs. Some cheaper software names, such as Microsoft (MSFT), Salesforce (CRM), Intuit (INTU), Workday (WDAY), and Adobe (ADBE), may also be relatively safe bets.
  • “While there are no ‘safe havens’ … we believe companies that are already back to their 2022 trough multiple on enterprise value/free cash flow or price-to-earnings are probably a bit safer (on a relative basis),” Evercore ISI analyst Kirk Materne wrote.
  • Read more about the seven tariff-proof stocks here.
  • However, sentiment on a legion of other names has rapidly shifted. Apple (AAPL) and Nvidia (NVDA) immediately come to mind, but as Sozzi notes, there are some less obvious names also getting bruised.
  • Citi and Evercore ISI analysts named internet companies with significant exposure to discretionary spending, such as Shopify (SHOP), Airbnb (ABNB), Booking Holdings (BKNG), eBay (EBAY), Etsy (ETSY), Trade Desk (TTD), Snap (SNAP), Roku (ROKU), as at risk. The analysts were also down on Wayfair (W) and Best Buy (BBY), which mostly source products from China.
  • Read more about the 10 stocks Wall Street hates here.
  • Yahoo Finance’s Alexandra Canal reports:
  • Read more here.
  • Nvidia (NVDA) and Tesla (TSLA) led the Nasdaq Composite (^IXIC) lower on Friday as megacaps sold off for a second day in a war amid a global trade war.
  • Shares of AI chipmaker Nvidia declined about 4% while EV maker Tesla fell more than 5%.
  • The declines come after stocks suffered their worst daily performance since 2020. On Friday, the S&P 500 was headed toward its worst week since March 2020.
  • US stocks opened sharply lower for a second day in a row after China retaliated against US tariffs in an escalating trade war, as Wall Street analysts warned about the rising risk of a recession.
  • The Dow Jones Industrial Average (^DJI) sank around 2.2%, or about 1,000 points, while the S&P 500 (^GSPC) plummeted about 2.3%. The tech-heavy Nasdaq Composite (^IXIC) dropped more than 2.8% after the three major averages suffered their worst day since 2020 on Thursday.
  • China said it will impose additional tariffs against US-made imports in reaction to President Trump’s escalated duties revealed on Wednesday.
  • Trump’s reciprocal tariffs announcement sparked fears of a trade war and the risk of a recession.
  • “The tariffs, if they stay in place, would be a big hit to the US and global growth, likely pushing the US and global economy into recession this year,” JPMorgan’s Natasha Kaneva said in a Friday note.
  • Oil futures tanked more than 7% in early trading as concerns about cratering demand rose.
  • Yahoo Finance’s Josh Schafer reports:
  • Read more here.
  • Futures on the major averages were off premarket lows but still sharply lower after China announced retaliatory tariffs of 34% on US imports in reaction to President Trump’s sweeping levies on its trading partners around the world.
  • Dow futures were down more than 1000 points, after dropping 1,400 points earlier in premarket trading. Futures on the S&P 500 trimmed losses to drop 2.6%.
  • European stocks continued slumping Friday as a widespread global sell-off over growing recession fears and escalating trade wars kicked up a notch.
  • The pan-European Stoxx 600 (^STOXX) and Germany’s DAX (^GDAXI) both fell 4.7%. Meanwhile, the CAC (^FCHI) in Paris dropped 4.2%. In London, the benchmark index (^FTSE) was down 3.8%.
  • European Commission President Ursula von der Leyen said the European Union was preparing a package of countermeasures against the US if trade talks fail. On Thursday, French President Emmanuel Macron also indicated the Europe would hit back, calling for European companies to suspend planned investment in the United States. And the UK indicated it planned to take a tougher stance on trade as well.
  • European stocks are headed for their biggest weekly loss in three years. However, US stocks fared worse on Thursday as investors grappled with President Trump’s sweeping reciprocal tariff plan (see chart below).
  • Oil sank to multiyear low levels on Friday after China announced retaliatory tariffs against the US in response to President Trump’s recent sweeping levies.
  • West Texas Intermediate (CL=F), the US benchmark sank as much as 8% to hover near $61 per barrel, while Brent (BZ=F) declined more than 7% to below $65 per barrel. The last time Brent and WTI traded around these levels was in 2021.
  • Oil extended losses from the prior session when it settled more than 6% lower amid fears of deteriorating demand after Trump’s retaliatory tariffs against US partners were announced on Wednesday. Subsequently, the decision by OPEC+ to increase production output next month more than expected also sent futures lower.
  • Wall Street appears headed for another ugly day as China offered a first retaliatory volley in response to President Trump’s tariffs.
  • Dow futures are down over 1,400 points, and Nasdaq and S&P 500 futures are both off over 3.5%.
  • The yield on the 10-year Treasury (^TNX) fell below 4% on Friday morning as investors flocked to bonds amid trade-war and recession fears.
  • The benchmark yield fell as much as 15 basis points to 3.88%, the lowest level since President Trump took office. The move came after China announced retaliatory tariffs on US imports in reaction to Trump’s sweeping reciprocal tariffs earlier this week.
  • Fears of a global slowdown or recession gripped investors after Trump set steeper-than-expected tariffs on US trading partners, sending the stock market into a tailspin.
  • Trump’s announcement on Wednesday brought levies against Chinese made imports to 54%. Analysts believe those levies will impact a variety of goods, including clothing, toys, and electronics.
  • GameStop (GME) initially jumped over 3% in premarket Friday after CEO Ryan Cohen bought 500,000 more shares, but has since slipped almost % as trading unfolds.
  • Reuters reports:
  • Read more here.
  • Oil prices declined in early Friday trading in Asia, on track for their worst week in months, as President Trump’s new tariffs fueled fears of a global trade conflict that could dampen oil demand.
  • Reuters reports:
  • Read more here.

Leave a Reply

Your email address will not be published. Required fields are marked *