US Futures Plunge Due to Trump’s Tariffs

• US Futures Drop 4%
• Tariffs Shake Global Markets
• Wall Street Loses $6.4 Trillion

US stock futures opened with sharp losses this Sunday due to the Trump administration’s refusal to lift tariffs imposed on nearly every country in the world.

Dow Jones futures fell by 1,500 points, or 4%, while S&P 500 futures dropped 4.3%, and Nasdaq futures plunged 4.7%.

This market plunge continues the downward trend that began after President Trump announced a minimum 10% tariff on imports from multiple countries, with even higher duties for specific countries and blocs such as China and the European Union (EU).

Despite public reassurances from senior officials defending the tariff policy, markets remain unsettled and are expected to continue sliding into the upcoming week.

Wall Street Futures Hit by Trump’s Tariffs

Commerce Secretary Howard Lutnick stated on Sunday that the tariffs, which went into effect on Saturday, will remain in place for «weeks» and will not be postponed, despite possible negotiations with affected nations.

Last Thursday and Friday, following Trump’s announcement, Wall Street saw its worst trading days since the COVID-19 pandemic outbreak in 2020.

According to The Wall Street Journal, Wall Street lost approximately $6.4 trillion in value during those two days, and nearly $10 trillion since Trump’s inauguration.

JP Morgan Chase, the largest bank in the US, raised its forecast for a global recession from 40% to 60%, citing the economic impact of Trump’s tariffs.

However, Treasury Secretary Scott Bessent denied that the tariffs would trigger a recession and reaffirmed that the administration would not back down from its trade stance.

Trump’s tariff policy has triggered widespread uncertainty in global financial markets.

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Rising trade tensions with key partners like China and EU member states are now threatening international trade relations and could disrupt global supply chains, sparking broader consequences for the world economy.

American consumers may also feel the impact, as higher tariffs on imported goods are expected to raise retail prices.

Trump’s tariff measures could reduce purchasing power for US households and drive inflation higher at a time when economic indicators already suggest a slowdown.

SOURCE: EFE / Revista Summa

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