In addition to investors anxiety, the US dollar slid against the main currencies, a market of the unusual movement duration, signing with respect to the direction of Washington’s policy. | Photo credit: Richard Drew/Ap Photo
American actions are falling on Monday, since the concerns about the commercial war of President Donald Trump and his criticisms of the Federal Reserve make investors move away from the United States.
The S&P 500 was 2.8 percent lower in another elimination elimination, and the index in the center of many accounts 401 (K) is more than 16 percent below its record established two months ago.
The Dow Jones industrial average fell 1,062 points, or 2.7 percent, axis or 11:45 am oriental. Tesla and other Big Tech actions had some of the most acute losses, which dragged the Nasdaq compound for 3.2 percent leader in the market.
Perhaps the most worrying, the value of the US dollar was also sank as a retirement continues from US markets. It is an unusual movement because the dollar has a historical force that delights episodes or nervousness. But this time, it is Washington’s direct policies that are causing fear and potential fabric of the dollar’s reputation as a pillar of the global economy.
Trump continued his hard talk about global trade during the weekend, even when economists and investors continue to say that their strong props tariffs could cause a recession if they do not retire.
The US conversations last week with Japan so far have failed to reach an agreement with lower tariffs and protect the economy, and are seen as a “test case”, according to Thierry Wizman, a Macquarie strategist.
“The golden rule of negotiation and success: the one that has gold makes the rules,” Trump said in all letters capitalized in his social network of truth. Hello, he also said that “entrepreneurs who criticize tariffs are bad in business, but really bad in politics,” also in all limits.
Trump has recently focused on China, the second largest economy in the world, which increased its own rhetoric against the world’s largest economy. China warned other countries on Monday that do not make trade agreements with the United States “at the expense of China’s interest”, since Japan, South Korea and others try to negotiate agreements.
“If this happens, China will never accept it and take resolutely contramedidated reciprocally,” said China’s Ministry of Commerce in a statement.
They also care about the market about Trump’s anger by the president of the Federal Reserve, Jerome Powell. Trump last week criticized Powell again for not reducing interest rates before to help give the most juice economy.
The Fed has been resistant to the reduction of rates too fast because it does not want to allow inflation to be requested after it has slowed almost until its 2 percent target that three years ago.
Trump spoke on Monday again about a slowdown for the US economy that could less than “Mr. too late, a large loser, reduces interest rates.” A movement to shoot Powell would probably send a great ray of fear through financial markets. While investors always love lower interest rates, because shares and other investments increase, the largest amount should be that a less independent Fed would be less effective in maintaining inflation under control in the long run. Such movement could weaken even more, if not killing, the reputation of the United States as the safest place in the world to keep effective.
In Wall Street, several Big Tech actions helped lead the lowest rates before their latest profit reports that are due at the end of this week.
Tesla sank 7 percent, for example. The actions of the electric vehicle arrived on Monday approximately 50 percent below their record established in December for criticism that the price of their shares had gone too high and that its brand has been intertwined too much with Elon Musk, who leads the United States government.
Nvidia fell 5.6 percent and was on the way to a third consecutive fall after revealing that the new US export limits. UU. In Chips to China they could damage their results of the first quarter in USD 5.5 billion. It was the heaviest weight in the S&P 500 500. A 3.5 percent drop for Apple, 2.5 percent fall for Microsoft and the slide of 3.6 percent for Amazon were very close.
It was another elimination in Wall Street, and 97 percent of the shares within the S&P 500 were falling.
Among the few winners was Discover Financial Services, who went up after the United States government approved its merger of proposition with Capital One Financial.
Discover a 1.7 percent rose, while Capital One was reduced by 0.3 percent.
Gold was also increasing, Brunking its reputation as a safe investment, unlike others.
In the bond market, short -term treasure yields fell as investors keep hope that Fed can reduce its main night interest rate at the end of this year to support the economy.
Longest -term yields revolved up and down, he thought, as doubts continue to increase on the position of the United States in the global economy due to Trump’s movements.
10 -year treasure yield exceeded 4.40 percent in the morning, compared to 4.34 percent at the end of last week and approximately 4 percent earlier this month. That is a substantial movement for the bond market. But then backed away 4.36 percent.
Meanwhile, the value of the US dollar fell against the euro, the Japanese yen, the Swiss Franco and other coins.
In the stock markets abroad, Nikkei 225 of Tokyo fell 1.3 percent. The indices were better in Seoul, where the shares rose 0.2 percent, and in Shanghai, which saw a profit of 0.4 percent.
Posted on April 22, 2025