Stock Market Today: Stocks Trim Losses After Trump Tariffs | Kiplinger
Stocks slumped at the start of Monday's session after the Trump administration's weekend tariff announcement. Stocks opened sharply lower Monday as Wall Street reacted to news that the Trump administration levied tariffs against Canada, Mexico and China. However, the main benchmarks finished well off their session lows after Trump delayed Mexico tariffs.
Over the weekend, President Donald Trump said the U.S. will levy 25% tariffs on Mexico and Canada and 10% tariffs on China. Stock market losses ranged from 1.4% to 2.5% in early trading Monday. However, the main indexes closed well off these levels after Mexican President Claudia Sheinbaum said she would send 10,000 troops to the U.S. southern border. In return, Trump said he will delay tariffs on Mexico for one month.
Market Performance
At the close, the Dow Jones Industrial Average was down 0.3% at 44,421, the S&P 500 was 0.8% lower at 5,994, and the Nasdaq Composite had lost 1.2% to 19,391.
Expert Insights
Carson Group Chief Market Strategist Ryan Detrick says "volatility is just the toll we pay to invest." He emphasizes the importance of staying informed and not being swayed by short-term market fluctuations.
Several top-performing stocks experienced declines on Monday, including Tesla, Nvidia, Apple, Alphabet, Amazon.com, and Meta Platforms. Despite the market challenges, Meta Platforms stood out with a 1.2% gain, reflecting positive investor sentiment.
Economic Indicators
The Institute for Supply Management's Manufacturing Purchasing Managers Index (PMI) showed expansion in the manufacturing sector, driven by strong domestic and foreign demand. Additionally, construction spending rose in December, exceeding economists' expectations.
While tariffs and economic uncertainties continue to impact the stock market, experts remain optimistic about the underlying strength of the economy and the potential for long-term growth.
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