US stocks fell Monday as President Donald Trump announced a flurry of tariffs on countries including Japan, South Korea and South Africa.
The Dow closed lower by 422 points, or 0.94%. The S&P 500 fell 0.79% and the tech-heavy Nasdaq Composite fell 0.92%. The three major indexes posted their worst day in about three weeks. Meanwhile, the early opening Asian stocks started Tuesday flat.
Stocks dropped lower midday after Trump announced 25% tariffs on Japan and South Korea, set to go into effect August 1. Stocks continued to fall in the afternoon as Trump announced tariffs of varying rates from 25% to 40% on countries including Myanmar, Malaysia, Kazakhstan, Laos and South Africa.
Trump posted letters on Truth Social outlining the tariffs, which are separate from sectoral tariffs. The tariff rates “may be modified, upward or downward,” according to the letters.
Stocks had opened lower as Wall Street mulled the Trump administration’s plan to announce new trade deals — or notify countries of new tariff rates. Trump on Sunday said the White House would send “tariff letters” to countries on Monday at noon. Trump had told reporters on Friday the letters would disclose new tariff rates set for August 1.
White House Press Secretary Karoline Leavitt on Monday said the president would sign an executive order to move the July 9 tariff deadline to August 1, creating a timeline for negotiations.