Trump sinks 1,300 points after defending tariffs as ‘medicine’ to correct the trade deficit.
- US stocks are preparing to continue their scorching free fall Futures, President Donald Trump’s tariffs said more fear. Management officials and Trump pointed out that they would not withdraw from their aggressive stance on Sunday. Meanwhile, an inflation report will be made this week and later in bank earnings.
Wall Street remained in fear mode on the tariffs of President Donald Trump on Sunday evening because Futures pointed to more upright losses.
Dow Jones Industrial Average Term Transactions 1.302 Points or 3.3%, S&P 500 maturity transactions were 3.9%and NASDAQ mature transactions were 4.9%. This follows a destructive week that has seen the worst sales since the first days of Covid-19 pandema.
The 10 -year Treasury return fell to 8.5 basis points to 3.906% and the US crude oil prices decreased by 3.7% to $ 59.72.
On Wednesday, Trump, China (34%), the European Union (20%) and Japan (24%), such as 57 economy, minimum 10%and higher rates announced. Fitch ratings The effective tariff rate is estimated to reach an average of 25% – the highest of 115 years.
Former Treasury Secretary Larry Summers, X post Saying that there is a chance of more market turbulence, similar to those seen on Sunday, Thursday and Friday.
He said that these sessions represented the fourth largest two -day decline in the last 85 years. Sellloff deleted about 6 trillion dollars at market value.
“A drop of this size points to a problem in front of us and points out that people should be very cautious, Sum Summers wrote.
Meanwhile, the Trump administration and president defended tariffs.
Orum I don’t want to go down, but sometimes you need to take medicine to fix something, Tr Trump said when journalists were asked about the Sunday route.
He drew attention to the trade deficit with China and said that he was willing to make an agreement, “But they have to solve the surplus.”
Previously, National Economic Council Director Kevin Hassett ABC News More than 50 countries have reached the White House to negotiate tariffs.
But for now, Trade Secretary Howard Lutnick said tariffs will remain and will not be postponed. Minimum 10% Tariff entered into force on Saturday, Individualized Levis He’il sit on Wednesday.
“They will definitely stay in place for days,” he said. CBS.
In response to Trump’s broom tariffs, JPMorgan is now a recession, and GDP decreases by 0.3% this year. However, Treasury Secretary Scott Bessent said it did not have to be a stagnation on Sunday and that it was called a short -term reaction to the stock.
“One thing I can say to you, as the Treasury Secretary, I was very impressed with market infrastructure, we had a registration volume on Friday. And everything works very smoothly, so the American people can get great comfort in this regard,” he said. NBC.
Bessent also did not give any symptoms that Trump would withdraw from these aggressive tariffs.
On Friday, Federal Reserve President Jerome Powell warned that comprehensive tariffs can increase inflation higher and expectation to cool for a close interest rate reduction.
The markets will receive an inflation update on Thursday, when the consumer price index report will be released in March, and will give an idea of where inflation went before the latest tariffs were hit.
In addition, the earnings season for the first quarter results will begin this week as JPMorgan, Wells Fargo and Blackrock report on Friday.
Comments on the estimates of senior executives on how to affect their companies and their predictions will be under a special examination.
This story initially took part in Fortune.com
