Market meltdown: NYSE loses $6.4 trillion in tariff turmoil
The New York Stock Exchange has experienced record losses of $6.4 trillion over the span of two days, primarily due to the tariffs announced by the USA and the retaliatory tariffs by China.
What do you need to know?
- The New York Stock Exchange lost $6.4 trillion in two days, marking a record-breaking event.
- Tariffs imposed by the USA and China are the main cause of the stock market declines.
- The largest declines were recorded by technology, energy, and financial companies, including Tesla and Apple.
What are the causes of the record losses?
According to the Wall Street Journal, the New York Stock Exchange lost $6.4 trillion over two days. This is the result of the tariffs announced by the USA and China's announcement of retaliatory tariffs.
The Dow Jones Index lost over 2,000 points on Friday. When combined with Thursday's declines, this resulted in record losses.
Which companies suffered the most?
Friday's trading on Wall Street ended with deeper declines than on Thursday. The Dow Jones Industrial Average fell by 5.5%, the S&P 500 by 5.9%, and the Nasdaq by 5.8%.
The largest declines were recorded by technology, energy, and financial companies, including Tesla (-10.4%), NVIDIA (-7.3%), and Apple (-7.2%).
What's next for US tariff policy?
China announced the imposition of retaliatory tariffs on the USA amounting to 34%, and President Trump vowed that "my policies will never change."
Federal Reserve Chairman Jerome Powell warned that the economic effects of the tariffs could be stronger than anticipated, potentially resulting in higher inflation and slower growth.
