Stock markets plunge after Trump’s ‘Tariff Man’ tweet
Stocks took a nosedive on Wall Street as investors worried that a US-China trade truce reached over the weekend wasn’t all it was cracked up to be.
The Dow Jones Industrial Average sank almost 800 points Tuesday.
Boeing and Caterpillar, two major exporters which would have much to lose if trade tensions don’t ease, weighed the most on the Dow.
Bond prices soared sharply, sending yields lower, as traders shoved money into lower-risk investments.
The sharp drop in yields hurt banks because it makes it harder to earn money from lending. JPMorgan Chase sank 4.5 percent.
The S&P 500 lost 90 points, or 3.2 percent, to 2,700.
The Dow dropped 799 points, or 3.1 percent, to 25,027. The Nasdaq fell 283 points, or 3.8 percent, to 7,158.
The markets plunged after President Donald Trump unleashed a threatening tweet Tuesday morning.
“President Xi and I want this deal to happen, and it probably will. But if not remember, I am a Tariff Man,” Trump tweeted.