FX.co ★ US Stocks Fall Again, S&P 500 Enters Bear Territory

U.S. stocks tumbled for the third consecutive session on Monday, as the White House intensified its stance on imposing robust tariffs against major trading partners, disregarding the escalating market volatility. The S&P 500 slumped 3.7%, indicating a 20% decline from its February peak, which officially signifies its entry into bear market territory. The Dow Jones Industrial Average fell by another 1,200 points, equating to a 3.3% drop, while the Nasdaq also decreased by 3.7%, having already reached bear market status the previous week amid increasing concerns of a recession ignited by President Trump’s comprehensive trade strategies. On Friday, China imposed a 34% tariff on all U.S. imports rather than engaging in negotiations, while President Trump reiterated that he would maintain the tariffs until the U.S. trade deficit with China is addressed. Concurrently, reports indicate that Canada and the European Union are devising similar retaliatory actions. Investors will also be factoring in alerts from financial institutions like Goldman Sachs, which have warned that the intensifying trade conflict considerably heightens the risk of a U.S. recession.