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U.S. stock futures saw a significant decline on Sunday evening, which is likely to result in a challenging start for Wall Street on Monday as the market anticipates the repercussions of President Trump’s rapidly evolving tariff strategies.
Futures for the S&P 500 (ES=F) dropped by approximately 4%, with Nasdaq futures (NQ=F) declining by 4.8%. Similarly, Dow Jones Industrial Average futures (YM=F) fell by 3.9%, translating to a loss of more than 1,400 points. The price of oil also witnessed a decrease exceeding 3% during this period.
As of 6:56:06 PM EDT. Market Open.
ES=F NQ=F YM=F
Presently, Wall Street is reeling from its most significant weekly loss since the onset of the COVID-19 pandemic, with a staggering more than $5 trillion caveat in market value. This downturn follows Trump’s announcement to impose substantial tariffs on all U.S. trading partners, inciting a widespread sell-off. The Nasdaq Composite (^IXIC) has entered a bear market, being over 20% below its recent peaks, while the S&P 500 (^GSPC) is approaching that threshold after a 9% decline last week. The Dow (^DJI) has also tumbled into correction territory, showing almost an 8% drop.
Read more: Live updates on the impact of Trump’s tariffs
Despite Wall Street’s turmoil and international objections, Trump seems steadfast in his tariff agenda. China has responded with its own tariffs, and the European Union is preparing to take counteractions. The new baseline duties of 10% on a broad array of trading partners took effect over the weekend, and additional tariffs targeting specific “bad actors” are set to follow starting Wednesday.
Officials from the administration defended Trump’s approach during various appearances on Sunday talk shows. Treasury Secretary Scott Bessent dismissed concerns that the tariffs might plunge the U.S. economy into recession, even as JPMorgan emerged as the first major U.S. bank to predict a recession could occur later this year, noting a swift reevaluation among economists regarding the U.S. economic growth outlook.
Bessent, alongside advisor Kevin Hassett, mentioned that over 50 nations have already initiated discussions about negotiations, raising potential logistical concerns regarding the tariffs that will be implemented this week. Commerce Secretary Howard Lutnick affirmed that the imposed tariffs are “definitely going to stay in place for days and weeks.”
Meanwhile, Trump has maintained a low profile over the weekend, sharing several golf-related videos while encouraging Americans to “hang tough.” He also shared a video alleging he is “deliberately crashing” the stock market. In response to inquiries about this allegation, Hassett clarified that Trump does not intend to undermine the market, but rather aims to support American workers.
Oil prices decline further
In Tokyo, oil prices decreased by more than 3% on Monday, continuing a downward trend spurred by worries that the escalating trade conflict could hamper global economic growth and diminish oil demand, particularly following China’s counteractions to Trump’s tariffs.
Read more here.
Stay updated on tariff developments
Our live blog on tariffs has been active throughout the weekend, providing essential context as we enter the new trading week.
A key observation from our reports indicates that officials from the Trump administration have adopted a defiant stance regarding the president’s tariff proposals. A summary of findings from our coverage is available for reference.
See the latest updates here.
Bitcoin experiences sharp decline, tests pre-election levels
On Sunday, Bitcoin (BTC-USD) experienced a notable drop, putting it in a position to revisit levels not seen since before the election, which had previously set the stage for a vigorous rally last year.
As of the last check, the cryptocurrency was trading at around $78,600 per token, standing slightly above its year-to-date lows.
Ethereum (ETH-USD) saw an even steeper decline, falling to approximately $1,600 per token, marking its lowest level since late 2023.
Stock futures begin trading significantly lower
As trading commenced on Sunday night, futures tied to major market indexes were all down by about 4%:
As of 6:56:06 PM EDT. Market Open.
ES=F NQ=F YM=F
Source
finance.yahoo.com