American actions fell into the first operations on Thursday, only a few hours after President Donald Trump’s tariffs triggered the threats of countermeasures of foreign leaders.
The industrial average Dow Jones collapsed 1,100 points, or 2.6%, while the S& P 500 fell 3.3%. The technological heavy nasdaq decreased 4.3%.
While Trump said tariffs would release the United States from the dependence of foreign goods, the fears of a deeper international commercial war seemed to influence the reaction of the stock market.
During the event at the White House on Wednesday, Trump presented a large set of basal tariffs for all commercial partners and what he described as “friendly reciprocal” tariffs on nations that, according to him, were the worst criminals in commercial relations with the United States.
“My fellow citizens, this is the day of liberation,” Trump said from the Garden de Rosas. “On April 2, 2025, it will be remembered forever as the day when the American industry was reborn, the day the United States fate was recovered and the day we began to make the United States return to rich,” he said.
President Donald Trump signs an executive order on rates, in the Rosas Garden in the White House in Washington, DC, on April 2, 2025.
Leah Millis/Reuters
The president announced that the measures would include a minimum reference rate of 10% in all commercial partners and, in addition, more specific punitive levies in certain countries, including China, the European Union and Taiwan.
Trump lifted a table with a list of nations and what will be the new US tariffs against them.
A merchant speaks on the phone while working on the floor of the New York Stock Exchange (NYSE) in the Opening Campana in New York, on April 1, 2025.
Charly triballeau/AFP through Getty Images
In the upper part was China, which Trump said he would be affected with a tariff rate of 34%, since he said he charged 67%to the United States.
The 34% reciprocal rate for China adds to an anterior 20% Trump rate, slapped the nation, which carries the effective rate rate to one of the largest commercial partners of the United States to 54% in total.
While Trump’s freshly coined rates for Trump’s long -minorities represent that they will see that some experts told ABC News before Wednesday that the measures could threaten economic growth and employment, since tariffs slapped in the costs of increasing import risks for companies that depend on raw materials from abroad.
“If both companies and consumers begin to worry and withdraw their expenses, that is what can lead the United States to a recession,” said Kara Reynolds, an economist from the American University, ABC News.
Mark Zandi, chief economist of Moody’s Analytics, described tariffs as “fodder for an economic recession.”
Max Zahn of ABC News contributed to this report.
