FX.co ★ US Stock Sell-Off Worsens Amid Escalating Trade War

The S&P 500 experienced a decline of 2.7%, the Dow Jones Industrial Average fell by 970 points, and the Nasdaq Composite decreased by 3.1% on Friday. This downturn marks their lowest points since last August and continues the previous day's selling trend. The trade conflict intensified as China's finance minister instituted a 34% tariff on all imports from the United States, mirroring a tariff imposed by President Trump earlier in the week. Investor concerns are growing over the potential economic impacts, with numerous economists cautioning about the risks of rising prices, slowed economic growth, and a possible recession. However, employment data showed an unexpected surge in payroll figures, indicating continued strength in the labor market. Losses spanned various sectors, with the energy sector suffering the most, closely followed by the industrials and materials sectors. Notably, major technology companies saw significant declines, including Apple (-3%), Microsoft (-2.1%), Nvidia (-4.3%), Amazon (-4.5%), Meta (-4.3%), Alphabet (-1.3%), and Tesla (-5.2%). Over the course of the week, the Nasdaq dropped by 4.5%, the S&P 500 by 3.3%, and the Dow by 2.5%.