U.S. stock index futures tumbled Monday as investors avoided risky assets on fears that the Trump administration’s sweeping tariff plans set to be unveiled this week will hurt the global economy.
Stocks across the world fell sharply, gold prices scaled new highs and U.S. Treasuries rallied after U.S. President Donald Trump said on Sunday that reciprocal tariffs he is set to announce this week will include all nations.
At 6:38 a.m. EST, S&P 500 E-minis fell 54.75 points, or 0.97%. Nasdaq 100 E-minis dropped 266 points, or 1.36%, and Dow E-minis were down 266 points, or 0.64%.
U.S. stock markets have succumbed to sharp selling pressure this year as Trump announced tariffs on some of its main trading partners, raising fears of a global economic slowdown and a spike in inflation.
Trump, who sees tariffs as a way of protecting the domestic economy from unfair global competition, has promised to unveil a massive tariff plan on Wednesday, which he has dubbed “Liberation Day.”
“We doubt ‘Liberation Day’ is going to mark the end around tariff uncertainty … the potential is in fact higher for the April 2 deadline to introduce even more uncertainty, and hence the prolonged broad-based weakness in leading indicators,” said HSBC’s Chief Multi-Asset Strategist Max Kettner.
