U.S. stock futures dropped sharply on Sunday after President Donald Trump imposed tariffs on Canada, Mexico, and China, escalating fears of a global trade war. The tariffs—25% on Canadian and Mexican imports and 10% on Chinese goods—aim to curb illegal immigration and drug trafficking but have drawn immediate backlash and retaliation threats.
S&P 500 Futures fell 1.6%, Nasdaq 100 Futures dropped 2.4%, and Dow Jones Futures declined 1.1%. The move is expected to increase U.S. inflation, reducing the likelihood of interest rate cuts by the Federal Reserve. Analysts warn that the tariffs could have a significant economic impact, further pressuring Wall Street after recent market losses.
