The actions of the United States closed lower on Tuesday, marking an important reversal of a rally that sent the S& P 500 and Nasdaq rose more than 4% earlier in the day.
As the trade opened, investors seemed to shake the days of concern for the tariffs of President Donald Trump. Hours later, the markets resumed their nerves and there was a sale of a sale.
The industrial average Dow Jones closed 319 points, or 0.8%, while Nasdaq decreased 2.1%.
The s& P 500 fell 1.5%, putting the index on the edge of a bearish market, a term that indicates a 20% drop in an earlier peak.
The most under Tuesday movement resumed a sale of a sale that goes back to Trump’s tariff announcement last week. Since then, the S& P 500 and Nasdaq have fallen more than 12%.
The mixed performance for the markets on Monday offered a temporary respite of the market recession, before a return to generalized losses on Tuesday.
In a publication on social networks minutes before the markets were opened, Trump said he had had a “great decision” with the interim president of South Korea, Han Duck-Soo, on the terms of a commercial agreement.
“We have the limits and probability of a great offer for both countries,” Trump said about Truth Social. “We are also dealing with many other countries, all of which want to reach an agreement with the United States.”
However, a confrontation between the United States and China, the two largest economies in the world, continued on Tuesday.
A merchant works on the floor of the New York Stock Exchange in New York City, on April 7, 2025.
Brendan McDermid/Reuters
The White House Press Secretary, Karoline Leavitt, confirmed Tuesday that Trump’s threat of an additional 50% rate on China will enter into force on early Wednesday, which takes the total rate of tariffs against Beijing at 104%.
China’s Foreign Ministry spokesman, Lin Jian, told journalists earlier on the day that Trump’s last tariff threat “does not reflect the will to have a serious dialogue.”
Asian markets opened in positive territory on Tuesday after publishing significant losses on Monday, promoted by the Trump global tariff campaign.
The Japan Nikkei index closed just over 6% on Tuesday, recovering some of the almost 8% of the losses published on Monday.
The Kospi index of South Korea increased by 0.3%, Australia’s S& P/ASX 200 grew by 2.2% and India Nifty 50 index rose almost 2%.
Hong Kong Hang Seng index, which on Monday registered its worst day since 1997, lost 13%, recovered with a 1% increase on Tuesday. The Shanghai compound index grew 1.4%.
European markets also got on Green after a tumultuous beginning of the week. The British FTSE 100 collected 1.3% shortly after the opening, the Dax of Germany won 0.9% and CAC 40 of France increased 1.3%.
A woman looks at an electronic joint showing the Nikkei 225 index in the Tokyo Stock Exchange in Tokyo, Japan, on April 8, 2025.
Kazuhiro Nogi/AFP through Getty Images
The business of the Russian mountain on Monday saw the Dow Post its largest swing of intradicate points, falling more than 1,700 points during its minimum session on Monday, then increased 2,595 points from the decline.
The Dow fell 349 points, or 0.91%, while the technological heavy nasdaq increased 0.1%. The s& P 500 closed 0.23%. Its 8.5% high/low propagation has only happened another 20 times since 1962, according to S& P global.
The s& P 500 briefly entered the territory of the Bear market during the session, but it was the end of almost 18% since its recent.
Joe Simonetti and Alexandra Hutzler of ABC News contributed to this report.
