Wall Street followed global markets sharply lower Thursday after U.S. President Donald Trump announced tariffs on imports of goods from around the world, the Associated Press reports. The double-digit tariff hikes rippled through world markets, and economists are warning that the risk of recession is climbing.
Futures for the S&P 500 slumped 3.4% before the bell, while Dow Jones Industrial Average futures lost 2.8%, and Nasdaq futures tumbled 3.8%. It was the fourth straight day that U.S. markets have begun falling early, though unlike the previous three, it appears unlikely that stocks will recover by day’s end.
Shares of Nike, Best Buy and Dollar Tree plunged more than 11% before the opening bell Thursday.
Treasury yields swung in the bond market, echoing the indecision seen in the stock market. The yield on the 10-year Treasury fell as low as 4.04% overnight from 4.23% late Wednesday and from roughly 4.80% early this year. By morning it had settled to 4.11%. Higher yields can indicate higher expectations for the economy or for inflation.
Oil was not spared from the wreckage. U.S. benchmark crude shed $3.36, or 4.7%, to $68.35 per barrel. Brent crude, the international standard, gave up $3.29, or 4.4%, to $71.66 per barrel.
Japan’s yen gained, with the U.S. dollar falling to 146.64 yen from 149.28 yen.
