Chinese stocks shook the US stock market
After China announced a 34 percent tariff on US goods, US stock indices continued to decline, The Economist reported.
The Dow Jones index fell by 2.2 percent, the S&P 500 by 2.5 percent, and the NASDAQ dropped by 2.6 percent. Shares of Tesla and Apple each decreased by 6 percent. Shares of major technology companies like Alphabet, Microsoft, Nvidia, and others also continued to decline.
JPMorgan Chase, the largest bank in the US by assets, saw its shares decrease by 7.3 percent. Goldman Sachs and Morgan Stanley shares also fell by a similar margin.
Major oil companies were not left behind: Exxon shares fell by 4.8 percent, and Chevron by 4 percent. The largest oil refining company in the country, Marathon Petroleum, saw its shares decrease by 4.6 percent.
China's stance on tariffs has heightened concerns among investors that countries may take decisive measures against each other rather than engage in negotiations. This has increased the likelihood of a widespread trade war.
One day earlier, after Donald Trump announced new tariffs on goods imported from other countries, companies worldwide saw a total market value decrease of $3.1 trillion. Additionally, major stock indices experienced losses of 5-6 percent.
