Stocks Drop

Stocks dropped significantly today, with major players reacting to the aftereffects of President Donald Trump’s broad reciprocal tariffs. The market movement is in response to one of the president's key promises made during the campaign—to tackle what has been perceived as unfair trade practices, potentially nudging manufacturers to return to the US (see previous write-up). 

Major stock indexes dropped during regular trading (S&P 500 -4.8%, Dow -4.0, Nasdaq -6.0%), largely on fears of higher costs for importing goods. Administration officials have argued the temporary economic pain will be offset by manufacturers choosing to relocate—or at least relocate supply chains—to the US. 

As of this writing, a number of major companies with manufacturing supply chains in the hardest-hit countries saw their shares slide. Some of the biggest drops include Nike (-14%), Apple (-9%), and Deckers Outdoor (-14%). 

Trump has remained open to using the trade taxes as negotiating levers. See updates here.