U.S. equities fell on Monday afternoon as President Donald Trump increased pressure on trading partners to finalise trade deals ahead of a looming Wednesday deadline.
The S&P 500 and Dow Jones Industrial Average were both down 0.6%, while the tech-heavy Nasdaq slipped 0.8%.
Tesla led losses on the S&P 500, plunging 7.6%, as tensions flared once again between CEO Elon Musk and President Trump following a renewed war of words over the weekend.
Markets remain focused on the Trump administration’s aggressive push to reshape global trade policy through the threat of sharply increased tariffs. Analysts say the immediate market outlook will depend on several key factors, including which countries receive tariff notifications, the scale of proposed duties, and the timing of their implementation.
Last week, the administration announced a trade agreement with Vietnam that would allow U.S. goods to enter the country duty-free. In return, Vietnamese exports to the U.S. will face a 20% tariff, down from the 46% rate initially floated in April.
“The type of deal struck with Vietnam may be a blueprint for similar countries in the region with economies heavily reliant on large trade deficits with the U.S.,” said Jason Pride, chief investment officer at Glenmede.
