Trump tariffs turmoil wipes out more than $2 trillion in US stock value within 24 hours.

Trump tariffs turmoil wipes out more than $2 trillion in US stock value within 24 hours.

President Donald Trump’s sweeping tariffs on foreign imports have destroyed trillions of dollars in value for U.S. companies.

Almost every industry saw significant losses as U.S. financial markets closed with their largest one-day decline since COVID-19 flattened the global economy five years ago.

Banks, retailers, apparel, airlines, and technology companies were among the hardest hit, and investors’ dumped shares in companies they believe will be most negatively impacted by what is essentially a business tax.

Many economists referred to the tariffs as much worse than anticipated, and investors dumped shares in companies they believe will be the most negatively impacted.

Consumer spending accounts for roughly 70% of economic activity in the United States, so if consumers cut back on their spending due to higher prices, businesses will produce fewer goods, and economic growth may stall or contract.

“This is a game changer, not only for the U.S. economy but for the global economy,” Olu Sonola, head of U.S. Economic Research at Fitch Ratings, said in a report, adding that many countries will likely end up in a recession.

Howard Silverblatt, a senior index analyst at S&P Dow Jones Indices, said that more than $2 trillion in value was lost when the S&P 500 fell 4.8%.

Laptops 1000

Here is a breakdown of some of the market’s worst-performing industries and businesses on Thursday:

Airlines:

United Airlines, down 15.6%;

American Airlines, down 10.2%;

Delta Air Lines, down 10.7%;

Clothes and shoes:

The majority of big shoe and clothing manufacturers have their products made outside of the United States, meaning they must pay an import tax, or tariff, on all the goods that are shipped back into the country for sale here;

Nike, down 14.4%;

Under Armour, down 18.8%;

Lululemon, down 9.6%;

Ralph Lauren, down 16.3%;

Levi Strauss, down 13.7%

Merchants

Big box and internet merchants also import a huge percentage of their product from outside the U.S.

Amazon, down 9%

Target, down 10.9%

Best Buy, down 17.8%

Dollar Tree, down 13.3%

Kohl’s is down 22.8%.

Technology:

Businesses that manufacture and market computers, smartphones, and other devices import a large number of their components from outside.

Some companies manufacture their whole product line abroad, which means that when those goods are returned to customers for sale, they must pay a duty.

Apple, down 9.2%

HP is down 14.7%.

Dell fell 19%

Nvidia, down 7.8%

The Banks

Households and businesses will be less inclined to borrow money if the economy enters a recession since there will be less demand for goods and services

9.1% decrease for Wells Fargo

Bank of America, 11.1% lower

JPMorgan Chase, 7% lower

Eateries:

Since they are less optimistic about their financial futures this year, American consumers have already been cutting back on their restaurant spending as they reduce their expenditure and focus exclusively on necessities

Starbucks, down 11.2%

The Cracker Barrel fell 12.7%.

Cheesecake Factory is 9.4% lower.

Automakers:

Surprisingly, they were not as badly hit as most other industries on Thursday.

This could be because the majority of the steel and aluminum that Trump had previously announced tariffs on, which are already imported by Ford, GM, and Stellantis, come from the United States, lessening the direct effect that higher duties would have on the companies.

General Motors closed 4.3%,

Ford fell 6%.

Tesla fell 5.5%, and

Stellantis fell 9.4%.

Leave a Reply

Your email address will not be published. Required fields are marked *

Facebook20.00k
Twitter60.00k
100.00k
Instagram500.00k
600.00k
Economic Globe - Global Economic Journal
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.