Stocks drop after Trump ramps up new tariffs and investors dump potential AI losers
PBS • • nation
Key Points:
- U.S. stocks declined sharply on Monday as President Trump increased tariffs from 10% to 15% following a Supreme Court ruling that limited his authority on reciprocal import taxes, fueling global economic uncertainty.
- The Dow Jones fell 821 points (1.7%), the S&P 500 dropped 1%, and the Nasdaq declined 1.1%, with significant losses in companies vulnerable to AI competition such as CrowdStrike and AppLovin.
- Investors remain cautious amid ongoing trade tensions and the potential for more tariffs, while concerns grow over heavy spending by tech giants like Alphabet and Amazon on Nvidia chips impacting future profitability.
- Airline stocks fell due to severe weather causing flight cancellations, and Novo Nordisk’s shares plunged after disappointing trial
