The morning hangover following ‘Liberation Day!’ has hit the global markets hard and not in a good. Stock futures cratered after the Fascist Felon implemented his stupid tariffs that will affect all consumers across the globe.
Futures tied to the Dow Jones Industrial Average lost 1,200 points, or 2.9%, and were near their lowest levels of the session before the official market open. S&P 500 futures dropped 3.5% with the benchmark on pace for its biggest one-day loss since 2022. Nasdaq-100 futures lost about 4% as investors dumped risky growth shares.
CNBC:
What you need to know
- President Donald Trump signed an aggressive and far-reaching “reciprocal tariff” policy at the White House.
- Trump’s plan sets a 10% baseline tariff across the board.
- The plan imposes steep tariff rates on many countries, including 34% on China, 20% on the European Union, 46% on Vietnam and 32% on Taiwan.
- Economists and U.S. trade partners are raising questions about how the White House calculated the tariff rates it claimed other countries “charge” the United States.
- Stocks opened down sharply Thursday.
Here is what to expect:
- The 25% tariffs are on any vehicle not assembled in the U.S., which S&P Global Mobility reports accounted for 46% of the roughly 16 million vehicles sold domestically last year
- No car is fully manufactured in the US. Parts for cars assembled here come from numerous countries.
- When the demand for new cars pummel, the demand for used cars will soar resulting in higher prices.
“A 25% on automotive imports lasting beyond four to six weeks would likely have a chilling effect on the entire sector as [automakers] need to grapple with significant impact to the bottom line,” Bernstein analyst Daniel Roeska said in a recent note to investors.
Ford launches new ad campaign as tariffs kick in, offering steep discounts on its vehicles
- Ford launches a new “From America, For America” ad campaign to highlight its U.S. manufacturing.
- As part of the campaign, Ford will offer employee pricing on most of its vehicles through June 2.
- Ford is extending its program that offers a free home charger and installation on the purchase of an EV until June 30.
- Ford said it has high inventory and is in a strong competitive position to bring in new customers ahead of tariff impact.
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The biggest winners and losers in Europe as Trump announces sweeping tariffs
- U.S. President Donald Trump announced “reciprocal tariffs” on more than 180 countries and territories on Wednesday.
- The new duties will include a 20% tariff on goods imported from the European Union, along with 10% levies on those originating from the U.K.
- Luxury goods, autos and German products are among those hardest hit, while there was some positivity for regional currencies and European pharmaceuticals on Thursday.
Trump’s tariffs spare no country — 5 bizarre locations hit by levies including an uninhabited island
- U.S. President Donald Trump’s “reciprocal tariffs” hit major trading partners on Wednesday, but some tiny islands and remote locations were also on the firing line.
- The newly elected White House leader set a baseline tariff rate of 10% across the board, with a raft of levies affecting over 180 countries.
- Some of the strangest locations affected include an uninhabited island near Antarctica and a military base on the Indian Ocean.
