NEW YORK (AP) — Stocks sank on Wall Street after President Donald Trump threatened to hit eight European countries with new tariffs as tensions escalate over his attempts to assert American control over Greenland. The S&P 500 fell 2.1% Tuesday, its biggest drop since October. Technology stocks were the biggest weights. The Dow Jones Industrial Average dropped 1.8%. The Nasdaq composite slumped 2.4%. Trump said Saturday that he would charge a 10% import tax starting in February on goods from the eight European nations. European markets also fell, while gold prices surged. Long-term Treasury yields rose in the bond market.
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.
NEW YORK (AP) — Stocks slumped in afternoon trading on Wall Street Tuesday after President Donald Trump threatened to hit eight NATO members with new tariffs as tensions escalate over his attempts to assert American control over Greenland.
The S&P 500 fell 2%, pulling back further from the record it set early last week. It was the first time U.S. markets could react to the escalation from Trump, as they were closed on Monday for Martin Luther King Jr. Day.
The Dow Jones Industrial Average fell 877 points, or 1.8%, as of 2:46 p.m. Eastern. The Nasdaq composite slumped 2.3%.
