₦airaland Forum

U.S. stocks tumbled on Monday, with concerns about the effects of President Donald Trump’s tariffs on economic growth spooking investors.

The Dow Jones Industrial Average fell 890.01 points, or 2.08%, while the Nasdaq Composite and S&P 500 slid 4% and 2.69%, respectively. The Dow and the S&P 500 saw their worst day since Dec. 18; the tech-heavy Nasdaq had its worst day since September 2022.

Trump on Sunday declined to explicitly rule out a full-blown recession for the U.S. economy this year, telling Maria Bartiromo in a "Sunday Morning Futures" exclusive interview that the country will see a "period of transition" as his policies take effect.

"I hate to predict things like that," he said of a recession. "There is a period of transition because what we're doing is very big. We're bringing wealth back to America. That's a big thing… it takes a little time, but I think it should be great for us."

Financial markets have been volatile in recent weeks as rising trade tensions and signs of slowing U.S. economic growth weighed on consumer confidence and business activity. Investors are grappling with a barrage of new policies from the new Trump administration, particularly in trade where back and forth on tariff policy has increased uncertainty for businesses, consumers and investors.

"The U.S. market sell-off is starting to look ugly," said Dan Coatsworth, an investment analyst at AJ Bell. "Many people have been worried about elevated valuations among U.S. equities for some time and looking for the catalyst for a market correction. A combination of concerns about a trade war, geopolitical tensions and an uncertain economic outlook could be that catalyst."

Richly valued U.S. tech stocks have borne the brunt of the recent selloff on Wall Street.

"The narrative changes on a daily basis around tariffs – that's what causing all this uncertainty," said Art Hogan, chief market strategist at B Riley Wealth. "The damage around markets that has everything to do with sentiment is reflected more in the Nasdaq, because technology stocks are certainly more influenced by risk sentiment."

franchasng:
Whoever told Trump that increasing tariffs on foreign made goods will help America's economy to grow truly deceived him.


Let's break it down for the common man to understand better.


Over the years, America stopped light industry productions and slammed heavy tax on firms that do that in US just to stop environmental pollution due to carbon monoxide emissions coming from these production plants.


China being a poor struggling economy that found technology damned the consequences of environmental pollution and dived into all forms of manufacturing and production; small, medium and large, and over the years they became the hub of global production couple with their versed population and cheap labor. Most companies relocated their production plants to China that had friendly business environment, cheap labor and reduced tax.


America now go back to China to import those things they need that are now being manufactured mostly in China, and one President wakes up and says he would slam heavy tariff on foreign goods coming into America and he thinks it will favor him?


Chinese firms will simply add the increased tariff to their product cost and sell it to Americans at an increased price, at the end of the day, it is Americans paying the high tariff their President imposed on Chinese made products, you see why Trump isn't reasoning properly on this tariff hike?


The next people that will pay for this are the third world countries and developing countries like Nigeria that depend on second hand goods from America and Europe. As they sell them at higher price after use, Nigerians will buy those second hand goods at higher price.



Just like Tinubu taxing already poor Nigerians to death and thinking he has increased revenue while the masses are dying and companies shutting down due to increased running cost and low patronage.

All these yeye leaders

Ojuntana:
Trump is turning out to be clueless like most third world politicians after all

Talk up a big game. Criticise those in office.

Only to get there and do worse then claim you're carrying out "reforms" or "transition" for a better future

Who else knows any president involved in such propaganda while decimating his nation's economy by carrying out same policies he opposed? Any name?

CoronaVirusPro:
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Morafvckers finding out!

The USA will be Trump’s 7th bankruptcy