S&P and Nasdaq Slump as Stocks Fall on Trump China Tariff Threat

The S&P 500 index suffered a significant downturn, plummeting over 2 percent for the first time in six months, as investors grew increasingly uneasy following a prolonged period of gains. The sudden slump was triggered by concerns over a potential escalation in trade tensions between the United States and China, after President Trump hinted at imposing new tariffs on Chinese goods. The threat of increased tariffs sparked fears of a full-blown trade war, causing stocks to tumble and leaving investors scrambling for safe-haven assets. The Nasdaq composite also took a hit, falling sharply as technology stocks bore the brunt of the sell-off. As the day’s trading came to a close, market participants were left wondering if this marked the beginning of a more volatile phase for equities, or simply a minor setback in an otherwise bullish trend.