Stock Market Today: Dow, S&P 500, Nasdaq Slip Amidst Latest Tariff Concerns

Major stock indexes declined Monday as President Donald Trump announced new global tariffs following a Supreme Court ruling against a majority of his previous “reciprocal” duties. The move adds further uncertainty to the economic landscape, impacting investor sentiment and leading to a pullback in key market benchmarks.

Market Performance

As of recent trading, the Dow Jones Industrial Average was down approximately 0.5%, while the tech-heavy Nasdaq Composite and the benchmark S&P 500 both saw declines of 0.3% and 0.2%, respectively. Despite Monday’s downturn, all three indexes had closed higher the previous week, with the Nasdaq ending a five-week losing streak.

Trump’s Tariff Announcement

The shift in tariff policy came after the Supreme Court on Friday struck down most of Trump’s tariffs announced last April. In response, Trump initially announced a 10% global tariff hike, which was then increased to 15% on Saturday. These new duties are not based on the International Emergency Economic Powers Act, the legal basis the court deemed insufficient for imposing such tariffs.

International Reaction and Economic Indicators

The European Union is reportedly preparing to pause the ratification of its trade deal with the U.S. While seeking further clarification on the new tariff program, according to a Bloomberg report Bloomberg.

Amid the uncertainty, Bitcoin experienced volatility, falling below $65,000 overnight before partially recovering to around $66,000. The 10-year Treasury yield decreased to below 4.07% from 4.09% at Friday’s close. Safe-haven assets saw increased demand, with gold futures rising 2% to $5,180 an ounce and silver futures jumping 5% to $86.40 an ounce. West Texas Intermediate crude oil futures were up slightly, increasing 0.3% to $66.65 a barrel. The U.S. Dollar index edged lower to 97.66.

Analyst Commentary

“From a market-behavior perspective, declining policy predictability is compressing risk tolerance in cross-border capital allocation,” stated Dean Chen, an analyst at Bitunix Exchange. “Funds are tilting toward short-duration liquidity instruments and defensive assets, with risk-asset absorption contingent on whether clearer institutional signals emerge.”

Stock Movements

Within the Magnificent Seven tech companies, performance was mixed, with Nvidia (NVDA) leading gains with a 1.5% increase ahead of its Wednesday earnings report.

Novo Nordisk (NVO) shares experienced a significant drop of 14% after its CagriSema obesity treatment showed less weight loss compared to Eli Lilly’s (LLY) Zepbound, while Eli Lilly’s stock rose 3%. Netflix (NFLX) shares fell 4% following President Trump’s call to remove former Obama and Biden aide Susan Rice from its board, as Netflix pursues the acquisition of Warner Bros. Discovery (WBD) assets.

Domino’s Pizza (DPZ) saw a 5% increase in its stock price after reporting better-than-expected quarterly revenue and same-store sales. Conversely, Dominion Energy (D) shares declined 1% following its earnings report. Shares of major U.S. Airlines – Delta Air Lines (DAL), United Airlines (UAL) and American Airlines (AAL) – too experienced modest declines due to a blizzard impacting the Northeast and causing widespread flight cancellations.