Today’s Complete Market CoverageThe stock market is experiencing significant turmoil today as investors continue to react to President Donald Trump’s sweeping “Liberation Day” tariffs announced earlier this week. Major indexes are extending their dramatic losses from Thursday in what has become the worst market selloff since the early days of the COVID-19 pandemic in 2020.
Major Market Indexes in Freefall
As of midday trading on Friday, April 4, 2025, all major U.S. stock indexes are deep in negative territory:
– The Dow Jones Industrial Average (DJI) is down approximately 1,134 points (2.78%), trading around 39,642 after suffering a 1,679.39-point collapse (4%) on Thursday – its worst single-day performance since June 2020.
– The S&P 500 is down about 152.50 points (2.81%), trading near 5,280 following Thursday’s 4.8% plunge that marked its worst single-day performance since June 16, 2020.
– The Nasdaq Composite is down roughly 552.25 points (2.96%), hovering around 18,123 after Thursday’s 6% decimation – its worst single-day performance since March 2020. The tech-heavy index is now officially in correction territory.
– The Russell 2000, representing smaller companies, is showing even steeper losses, down 81.10 points (4.22%).
The market’s fear gauge, the CBOE Volatility Index (VIX), surged 39.6% on Thursday to 30.02, marking its highest closing level since August 5, 2024.
Trump Tariffs Spark Global Market Selloff
The market rout was triggered by President Trump’s announcement of “Liberation Day” tariffs, which will impose a baseline 10% tariff on all imports starting April 5, 2025. More concerning to investors is that tariff rates could increase to as high as 54% on certain countries depending on what duties those governments levy on U.S. exports.
The global impact has been swift and severe. International markets are also suffering, with the Stoxx Europe 600 index down more than 2%, while Japan’s Nikkei and Hong Kong’s Hang Seng closed down 2.8% and 1.5%, respectively.
China has already announced retaliatory measures, imposing 34% tariffs on U.S. imports starting April 10, according to the official Xinhua News Agency.
Tech Stocks Lead the Decline
Technology companies are bearing the brunt of the selloff, with the “Magnificent 7” tech giants experiencing significant losses:
– NVIDIA Corporation (NVDA) is down 7.81% to $101.80, continuing its slide as investors worry about potential supply chain disruptions and higher component costs.
– Apple Inc. (AAPL) is among the hardest hit, as its supply chain is heavily reliant on Asia. The company is particularly vulnerable to the tariffs since many of its products are manufactured in China and other Asian countries.
– Tesla, Inc. (TSLA) has dropped 5.47% to $267.28, despite manufacturing its U.S. models domestically. Investors remain concerned about potential impacts on its global supply chain and international sales.
– Other notable tech declines include Dell Technologies Inc. (DELL), which has plummeted 18.99% to $77.23.
Other Notable Stock Movements
While most stocks are in the red, there are a few notable gainers bucking the trend:
– The Goodyear Tire & Rubber Company (GT) is up 11.73% to $10.19.
– Lamb Weston Holdings, Inc. (LW) has surged 10.01% to $59.57 after beating quarterly estimates thanks to effective cost-cutting measures.
– McDonald’s Corporation (MCD) is showing resilience, up 2.15% to $318.27.
– Intel Corporation (INTC) is also in positive territory, up 2.05% to $22.43.
On the downside, luxury furniture retailer RH (RH) has collapsed 40.09% to $149.39, while V.F. Corporation (VFC) has plunged 28.74% to $11.68.
Economic Concerns and Upcoming Events
Economists and financial experts are expressing serious concerns about the effect of these tariffs on U.S. economic growth, particularly regarding inflation, which is already elevated and has remained sticky despite a 1% cut in the benchmark interest rate by the Fed last year. Market participants fear a near-term recession and, in the worst case, stagflation in the U.S. economy.
Investors will be closely watching upcoming economic data and corporate earnings releases for further market direction. The first-quarter earnings season is set to begin during the second full week of April, led by banking giants JPMorgan Chase (JPM) and Wells Fargo (WFC).
Analysts at U.S. financial data group FactSet estimate a year-over-year earnings growth rate of 7.3% for the S&P 500 companies, which would mark the seventh straight quarter of year-over-year earnings growth reported by the index.
Looking Ahead
As we move into next week, several key companies are scheduled to report earnings, which could provide further insight into the economic impact of the tariffs. Investors will be particularly focused on commentary from corporate executives regarding supply chain disruptions and inflation expectations.
The market will also be watching for any signs of policy adjustments or negotiations that might mitigate the impact of the tariffs. With the VIX index up nearly 60% over the last five days, continued volatility is expected in the near term.
For now, market participants remain on edge as they assess the potential long-term implications of what appears to be an escalating global trade war, with many analysts drawing comparisons to the market turmoil experienced during the early days of the COVID-19 pandemic.