Thu Apr 03 23:00:54 UTC 2025: ## Stock Market Plunges on Trump’s Surprise Tariff Announcement

**New York, USA** – US stocks suffered their worst day since the start of the COVID-19 pandemic on Thursday, following Donald Trump’s announcement of sweeping new tariffs. The Dow Jones Industrial Average plummeted 4.0 percent (over 1,600 points) to close at 40,545.93. The S&P 500 fell 4.8 percent, its largest single-day drop since June 2020, while the tech-heavy Nasdaq Composite tanked 6.0 percent, mirroring its March 2020 lows.

The sharp decline followed similar drops in European and Asian markets. Financial analysts attributed the sell-off to the unexpected scale and scope of the new tariffs, which are significantly higher than anticipated. Retailers heavily reliant on imports from Asian countries, such as Nike and Macy’s, were particularly hard hit, along with tech giants Apple and Amazon, each losing over 8.9 percent.

Tom Cahill of Ventura Wealth Management stated that the market is still grappling with the full implications of the tariffs, both economically and on corporate earnings. Adam Sarhan of 50 Park Investments warned that the tariffs could reduce corporate profits, fuel inflation, and trigger retaliatory tariffs from other countries. He further predicted that the current market downturn could precede a US recession. The uncertainty surrounding the long-term effects of the tariffs is cited as the primary driver behind the market’s significant downturn.

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