US stocks dropped on Monday (July 7) after US President Donald Trump revealed plans to impose new tariffs on imports from at least seven countries, sparking concerns over renewed trade tensions.The Dow Jones Industrial Average fell 422.17 points, or 0.94%, to close at 44,406.36. The S&P 500 declined 0.79% to 6,229.98, while the Nasdaq Composite lost 0.92%, ending at 20,412.52.
Trump, in a series of Truth Social posts, shared signed letters addressed to the leaders of South Korea, Japan, Malaysia, Kazakhstan, South Africa, Laos, and Myanmar, detailing new tariff rates set to take effect on August 1.
Also Read: President Trump to extend ‘reciprocal’ tariff deadline to August 1: White House
White House press secretary Karoline Leavitt said a total of 14 letters would be issued Monday, with additional announcements expected in the coming days. She also confirmed that Trump will sign an executive order pushing the tariff deadline, originally expected this week, to August 1.The announcement hit several stocks with international exposure. Shares of Toyota Motor and Honda Motor both dropped 4%. Tech majors Apple, Alphabet, and AMD each declined more than 2%, while Nvidia also traded lower.
Trump, in a series of Truth Social posts, shared signed letters addressed to the leaders of South Korea, Japan, Malaysia, Kazakhstan, South Africa, Laos, and Myanmar, detailing new tariff rates set to take effect on August 1.
Also Read: President Trump to extend ‘reciprocal’ tariff deadline to August 1: White House
White House press secretary Karoline Leavitt said a total of 14 letters would be issued Monday, with additional announcements expected in the coming days. She also confirmed that Trump will sign an executive order pushing the tariff deadline, originally expected this week, to August 1.The announcement hit several stocks with international exposure. Shares of Toyota Motor and Honda Motor both dropped 4%. Tech majors Apple, Alphabet, and AMD each declined more than 2%, while Nvidia also traded lower.
These mark the first of several trade announcements Trump was expected to make. Treasury Secretary Scott Bessent said Monday on CNBC’s “Squawk Box” that there would be several trade announcements over the next 48 hours, adding that he expects “it’s going to be a busy couple of days.”
Also Read: President Trump hits Japan, South Korea with 25% US tariffs, more nations to follow
Adding to trade worries, Trump also threatened an additional 10% tariff on countries that align with the “Anti-American policies of BRICS,” which refers to emerging market countries including Brazil, Russia, India and China. Trump did not elaborate on any specific policy of BRICS.
