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Dow, S&P 500, Nasdaq futures plummet after Trump hits Canada, Mexico, China with tariffs


US stock futures pointed to sharp losses for the major indexes, as Wall Street showed the effects of President Donald Trump’s announcement of tariffs on China, Mexico, and Canada.

Nasdaq futures (NQ=F) have dived 2.2%, leading the way down. S&P 500 futures (ES=F) spiraled 1.6%, and futures attached to the Dow (YM=F) stumbled 1.1%, or around 500 points.

The tariffs, set to take effect on Tuesday, will include 25% duties on Canada and Mexico and 10% on China. Energy imports from Canada will be lower with a 10% duty.

On Sunday evening, the US dollar index (DX=F) rose to near its highest levels over the past year. Crude oil (CL=F) also jumped around 2%.

With Trump’s tariffs arriving as expected over the past week, focus has been honed in on retaliatory announcements. As Yahoo Finance’s Ben Werschkul reported, Canada, Mexico, and China were quick to announce measures across a range of goods. Prime Minister Justin Trudeau said Canada will place 25% counter-tariffs on around $107 billion in American-made products.

The trade war is causing “considerable uncertainty about President Trump’s trade agenda for 2025.” That uncertainty is a large part of the Fed’s desire to keep a hold on rates for fears of a rise in inflation.

The tariffs are due to impact consumers directly across a number of industries. Automobiles and auto parts, gas and oil, clothes, computers, whiskey, and avocados are a small selection of items whose prices are expected to rise.

LIVE 1 update

  • Oil jumped Sunday in response to sweeping tariffs placed by President Donald Trump on a range of imports — including crude from Canada and Mexico. Consumers can expect a rise in energy prices over the coming weeks in response to the rise in crude.

    West Texas Intermediate (CL=F) futures hit as high as $75.18 a barrel, over a 3% rise, while Brent crude (BZ=F) topped out around $76 with a 1% bump.

    Crude oil is one of the commodities subject to a reduced duty of 10% as part of an understanding that Canada and the US have a heavy dependency on each other to fulfill their energy needs. The US imports nearly 4 million barrels a day from Canada. The tariff announcement led to gas futures pumping upwards by just shy of 3%.

    Trump has flagged even wider tariffs in the coming months, including against the European Union and covering an ever-increasing variety of goods and industries. Prices can be expected to shift roughly as the president warned “THERE WILL BE PAIN” in a post on Truth Social late Sunday.



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Tags :canadaChinaDonald TrumpMEXICONasdaq futuresPrime Minister Justin Trudeautariffs
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