Trump's Tariff Tsunami Wipes Out $5 Trillion from Wall Street

Trump's 'Liberation Day' Tariffs Wipe $5 Trillion Off Wall Street

Washington: The US stock market suffered its worst day in nearly six years on Monday, with the Dow Jones Industrial Average plummeting over 1,000 points, or 3.6%, as the Trump administration's tariffs on Mexico and Canada took effect.

The Dow Jones Industrial Average closed at 23,932.22, down 800.41 points, or 3.2%, while the S&P 500 index fell 3.1% to 2,755.66. The Nasdaq Composite Index slid 3.3% to 7,746.74.

The market rout was sparked by the imposition of tariffs on Mexican and Canadian goods, which many analysts believe will have a ripple effect on the global economy. The tariffs, which were announced by the Trump administration last week, are part of an effort to renegotiate the North American Free Trade Agreement (NAFTA).

The tariffs, which took effect at 12:01 am EDT on Monday, apply to goods such as trucks, airplanes, and machinery, and are expected to have a significant impact on industries such as manufacturing and agriculture.

The market's reaction to the tariffs was swift and severe, with many investors rushing to sell their shares in anticipation of a downturn in the economy. The Dow Jones Industrial Average fell over $5 trillion in value, its largest one-day decline since October 2014.

The impact of the tariffs was felt across the board, with many major companies reporting significant losses. Boeing, for example, fell 3.5% to $328.91, while Caterpillar, a major manufacturer of construction equipment, fell 4.3% to $137.41.

The tariffs are likely to have a significant impact on the global economy, with many analysts predicting a slowdown in trade and a increase in prices. The International Monetary Fund (IMF) has warned that the tariffs could lead to a global recession.

In a statement, the White House said that the tariffs were necessary to protect American jobs and industries, and to ensure that the country got a fair deal in its trade agreements.

The tariffs are the latest in a series of trade-related moves made by the Trump administration, which has imposed tariffs on a number of countries, including China, Canada, and Mexico. The administration has also withdrawn from several trade agreements, including the Trans-Pacific Partnership and the Transatlantic Trade and Investment Partnership.