Dow closes down 2,200 points, Nasdaq enters bear market amid tariff fallout

(NEW YORK) — Hiring data to be released on Friday will offer a gauge of the nation’s economic health, just a day after President Donald Trump’s sweeping new tariffs triggered a major stock selloff.

The jobs report, which details employer activity in March, is set to provide a snapshot of staff cuts imposed by the federal government last month amid cost-cutting efforts undertaken by the Department of Government Efficiency.

The fresh data may also offer clues about possible fallout from a previous round of tariffs imposed on Mexico, Canada and China at the outset of March.

Economists expect the U.S. to have added 140,000 jobs in March. That figure would mark a slight slowdown from hiring in the previous month, but it would still amount to solid job growth.

Despite escalating trade tensions and market turbulence since Trump took office in January, the economy remains in solid shape by several key measures.

The unemployment rate stands at a historically low level. Meanwhile, inflation sits well below a peak attained in 2022, though price increases register nearly a percentage point higher than the Fed’s goal of 2%.

“The economy is strong,” Fed Chair Jerome Powell said at a press conference in Washington, D.C., last month.

Tariffs announced earlier this week, however, threaten to derail hiring and worsen inflation, multiple analysts previously told ABC News.

The far-reaching levies increase the likelihood of a recession by driving up prices, sapping consumer spending, slowing business activity and risking layoffs, they said.

The White House plans to slap a 10% tax on all imported products and place additional duties on items from some of the largest U.S. trading partners, including China and the European Union.

“​​These policies, if sustained, would likely push the U.S. and global economy into recession this year,” J.P. Morgan said in a note to clients after the tariff announcement.

“Recession risks will likely rise,” Deutsche Bank added.

U.S. stocks plunged on Thursday in the first trading session after Trump unveiled the new tariffs.

The Dow Jones Industrial Average plummeted 1,679 points, or nearly 4%, while the tech-heavy Nasdaq declined almost 6%.

The S&P 500 tumbled 4.8%, marking its worst trading day since 2020.

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(NEW YORK) — The stock market fell on Monday after President Donald Trump slapped tariffs on Canada, Mexico and China, eliciting threats of retaliation and setting the stage for a trade war.

The Dow Jones Industrial Average slid about 550 points, or 1.25%, in early trading on Monday. The S&P 500 dropped 1.5%, and the tech-heavy Nasdaq plummeted 2%.

Traders demonstrated their jitters with a selloff of U.S. auto companies, which hold deep ties to suppliers in Canada and Mexico. Shares of General Motors plummeted 6%, while Ford saw its stock price plunge 4%.

The market rout extended worldwide. Japan’s Nikkei index fell 2.5% on Monday, and the pan-European STOXX 600 dropped about 1%.

On Saturday, Trump imposed 25% tariffs on products from Mexico and Canada, as well as 10% tariffs on goods from China. The tariffs are set to take effect on Tuesday, the White House said.

Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum both responded within hours of the announcement, vowing to retaliate.

Trudeau said Canada will implement 25% tariffs on $155 billion worth of U.S. goods, while Sheinbaum said she has instructed officials in her government to implement what she called Plan B, “which includes tariff and non-tariff measures in defense of Mexico’s interests.”

The tariffs imposed by the White House could raise prices for an array of products ranging from avocados to tequila to gasoline, experts previously told ABC News. The price impact remains unclear, however, since businesses within the supply chain could opt to take on some or all of the tax burden, they said.

Potential retaliatory tariffs issued by Canada and Mexico would make it more difficult for U.S. exporters to compete in those markets, raising the possibility of weaker sales.

This is a developing story. Please check back for updates.

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(NEW YORK) — Stocks fell on Monday ahead of the expected introduction of President Donald Trump’s sweeping tariffs on Wednesday, measures the president said will impact “all countries.”

The Dow Jones Industrial Average ticked down 10 points, or 0.03%, while the S&P 500 declined 0.7%. The tech-heavy Nasdaq plunged 1.5%.

Tesla, the electric carmaker led by billionaire Trump-advisor Elon Musk, dropped nearly 5%.

The downturn in U.S. markets followed a wave of selloffs worldwide.

Japan’s Nikkei index fell more than 4% and South Korea’s KOSPI slipped 3% after opening on Monday. In Europe, the British FTSE 100 fell by 1.18%, the German DAX index fell by 1.82% and France’s CAC 40 dropped by 1.76%.

Gold — a traditional safe-haven asset — reached a new record high of $3,128 per ounce.

Trump told reporters this weekend that his tariffs could affect “all the countries.”

“The tariffs will be far more generous than those countries were to us, meaning they will be kinder than those countries were to the United States of America,” he said.

“Over the decades, they ripped us off like no country has never been ripped off in history and we’re going to be much nicer than they were to us, but it’s substantial money for the country,” Trump said.

Auto tariffs of 25% are among those expected to come into effect on April 3. The measures will apply to imported passenger vehicles, including cars, SUVs, minivans, cargo vans and light trucks, according to a White House statement released last week.

Analysts widely expect the tariffs to raise prices for foreign-made cars, since importers will likely pass along a share of the tax burden to consumers.

Cars produced in the U.S. are also expected to undergo significant price hikes since manufacturers will bear higher costs for imported parts and face an uptick in demand as buyers seek out domestic alternatives, experts have told ABC News.

Trump dismissed concerns about auto tariffs this weekend. “The automakers are going to make a lot of money,” he said. “American automakers or international automakers, if you’re talking about them, are going to build in the United States.”

“The people that are going to make money are people that manufacture cars in the United States,” he continued. “Outside of the United States, that’s going to be up to them. I don’t care too much about that. But you have a lot of companies coming into the country to manufacture cars.”

ABC News’ Hannah Demissie contributed to this report.

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