The Dow Jones Industrial Average fell over 370 points in pre-market trading after U.S. President Donald Trump threatened to impose an additional $200 billion in tariffs on Chinese goods. On Monday night, the president announced that if China "refuses to change its practices," the United States would have no choice but to aggressively retaliate through trade policy.
China's Commerce Ministry responded that the latest threat is a violation of recent terms agreed to by the two nations. "The United States has initiated a trade war that violates market laws and is not in accordance with current global development trends," the Commerce Ministry said this morning.
Here are the numbers from Monday for the Dow, S&P 500, and Nasdaq:
Index | Previous Close | Point Change | Percentage Change |
Dow Jones | 24,987.47 | -103.01 | -0.41% |
S&P 500 | 2,773.75 | -5.91 | -0.21% |
Nasdaq | 7,747.03 | 0.65 | 0.01% |
Here's a closer look at today's most important market events, our Money Morning insight into today's volatility, and the top stocks to watch.
According to Bloomberg's latest report, America could be heading for an economic disaster that would rival the Great Recession.
Billionaire Ray Dalio's hedge fund, Bridgewater Associates, has made a $22 billion bet against the market.
And Citibank calls our present situation "eerily reminiscent of the mortgage crisis."
To see why we believe some of the richest players in the world are preparing for a market collapse, click here.
Last month, Congress caved to the big banks on Wall Street and let them go right back to the risky, speculative gambles they were making when they collapsed the economy in 2008. And it could lead to the next financial crisis.
According to Money Morning Capital Wave Strategist Shah Gilani, we shouldn't be surprised. Here's what you need to know to stay out ahead of the next major crash.
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About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.