US stock market sinks as S&P 500, Nasdaq, and Dow Jones slide on Trump tariffs, tech selloff, and solar crash
The US stock market opened this week on shaky ground as investors reacted to a fresh wave of trade uncertainty. Dow Jones Industrial Average fell over 160 points, extending Monday's losses after President Donald Trump announced new tariffs on 14 countries, including Japan, South Korea, Bangladesh, and Myanmar. The tariff declaration hit market sentiment hard, pushing futures and indices lower and unsettling global investors.
On Monday, the Dow Jones had plunged over 550 points at one stage before closing around 400 points lower. Stocks tried to recover in early Tuesday trading, but futures remained in red, with Dow futures down 110 points, S&P 500 futures down 15, and Nasdaq futures down 25 points.
Adding to the uncertainty, Trump has delayed the official imposition of the new tariffs until August 1, giving markets some breathing room—but not enough to ease the growing investor anxiety.
US stock market closes lower on July 8 as Trump tariffs weigh on sentiment
Wall Street took a slight dip on
Tuesday, July 8, 2025
, as traders digested the latest round of
Trump's tariffs
, concerns over India trade negotiations, and a flurry of movement in big tech and energy stocks. While some major names managed gains, the broader sentiment remained cautious throughout the session.
How did the major US indices perform today?
S&P 500
finished at around
6,234.9
, falling
0.7%
on the day
Nasdaq Composite
ended near
20,407.6
, down
0.94%
, hit by tech pullbacks
Dow Jones Industrial Average
lost around
387 points
to settle at
44,436
, a drop of
0.87%
This weakness followed renewed concerns about the global impact of Trump's evolving tariff strategy, including a proposed fresh set of import duties and a more aggressive tone toward green energy imports.
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Who were the top gainers on July 8?
Despite the overall red across indices, a few names managed to shine:
Dow Jones gainers:
Chevron
jumped
+1.9%
as oil prices rose
Salesforce
climbed
+1.7%
Amgen
,
Merck
,
UnitedHealth
, and
Johnson & Johnson
each gained around
+0.5%
S&P 500 & Nasdaq gainers:
Las Vegas Sands
surged
+8.9%
Packaging Corporation of America
added
+7.6%
Advance Auto Parts
rose
+6.5%
CME Group
:
+2.1%
Lockheed Martin
,
Philip Morris
, and
Charles Schwab
also saw gains between
+1.2%
and
+1.4%
Who were the biggest losers today?
The day wasn't kind to several tech giants and consumer-facing names.
Top Dow losers:
Nike
dropped sharply by
−3.06%
Amazon
:
−0.97%
Boeing
:
−0.91%
McDonald's
:
−0.60%
Microsoft
,
Cisco
,
Disney
, and
American Express
also saw minor losses between
−0.3% to −0.6%
Major S&P 500 laggards:
Tesla
plunged
−6.8%
, one of the day's biggest drags
Estée Lauder
:
−3.15%
UPS
:
−3.13%
Progressive Corp
:
−3.10%
EOG Resources
:
−2.87%
Why did the US stock market react so sharply to Trump's new tariffs?
The announcement of sweeping trade tariffs by President Trump caught investors off guard. Markets are usually sensitive to global trade disruptions, and this time was no different. The list of 14 affected nations spans multiple regions, signaling a wider shift in US trade policy. While the White House stated more formal notifications will go out in coming days, the move already sent shockwaves through equity markets.
With global supply chains still recovering post-pandemic and amid ongoing geopolitical tensions, another layer of trade friction was the last thing Wall Street wanted. This unexpected turn pushed investors into risk-off mode, leading to sell-offs across major indices.
Major ETF Performance
DIA (Dow Jones)
: Currently trading at
$442.39
, down approximately
0.36%
, with an intraday range between
$442.33–$444.38
.
SPY (S&P 500)
: Slightly lower at
$619.91
, slipping around
0.12%
, with a trading range of
$619.71–$621.86
.
QQQ (Nasdaq 100)
: At
$551.60
, down about
0.08%
, trading between
$551.37–$553.88
.
Index & Market Movers
On
Monday
, the market saw a sharp pullback:
Dow Jones
fell nearly
0.94%
S&P 500
dropped about
0.79%
Nasdaq
declined
0.91%
Today
, early session showed mixed moves:
Dow
slipped modestly
S&P 500 and Nasdaq
futures showed minor gains
Treasuries & Commodities
:
10-year yield
rose to around
4.42–4.43%
, and the
30-year yield
reached approximately
4.96%
.
Crude oil
hovered near
$69.90/barrel
Gold
fell roughly
0.9%
Copper
edged lower by about
0.2%
Sector & Stock Highlights
Technology Stocks
:
Tesla
rebounded about
1.5%
in pre-market trading after Monday's steep 7% loss.
Nvidia
and
Meta
posted slight gains.
Energy Sector
:
Led early gains, supported by rising oil prices.
Solar Stocks
:
Solar and clean energy stocks were hit hard after Trump's tariff speech hinted at
removing renewable energy subsidies
.
Sunrun
tanked
−10%
First Solar
fell
−4%
Enphase Energy
dropped
−6%
Investors now worry about a rollback of green energy policies that had been boosting the sector.
How are futures on the Dow, S&P 500, and Nasdaq responding?
Wall Street futures have extended their losses. As of the latest update:
Dow Jones futures are down 110 points
S&P 500 futures are down 15 points
Nasdaq futures are down 25 points
This continues the momentum from Monday when the Dow saw a major dip before partially recovering. The 30-stock index was down 550 points at its worst, showing how rattled investors were. This sustained weakness in futures suggests traders are still trying to digest the tariff impact and reassess their positions.
What role did Tesla and the America Party announcement play in this market dip?
In an unexpected twist, Tesla shares fell over 7%, weighing down the broader tech-heavy Nasdaq index. The drop followed CEO Elon Musk's announcement of the America Party, a political movement that's drawn both media attention and market speculation. While it's unclear how Musk's move will evolve politically, investors reacted cautiously, leading to a sizable dip in Tesla's stock.
This hit to one of the market's heavyweight companies added pressure to already falling indices, amplifying the overall market correction.
What is the status of US trade negotiations with India and the EU?
Adding to the market confusion, there's still no clear update on the pending trade deals with India and the European Union. These negotiations are seen as crucial for stabilizing international trade relationships after multiple disruptions. However, with Trump's new tariffs dominating headlines, optimism around these deals is fading fast.
Investors are closely watching for any signs of progress. Until then, the lack of clarity is fueling uncertainty in the market.
How are the US Dollar, gold, and crude oil reacting to this news?
Following the tariff shock, the US Dollar Index surged, as investors moved toward safer assets. A stronger dollar typically reflects a flight to safety, and this week's spike confirmed that sentiment. Meanwhile, gold and crude oil prices rebounded from earlier lows, another sign that markets are searching for hedges amid political and economic uncertainty.
These commodity shifts further reflect the turbulence sparked by the White House's trade move.
US Stock Market:
Index/ETF
Price (USD)
Change
High
Low
DIA (Dow)
442.39
–0.36%
444.38
442.33
SPY (S&P 500)
619.91
–0.12%
621.86
619.71
QQQ (Nasdaq)
551.60
–0.08%
553.88
551.37
Crude Oil
~$69.90
+0.5%
—
—
Gold
—
–0.9%
—
—
10-Yr Yield
—
4.42–4.43%
—
—
Bitcoin
~$109,000
—
—
—
What should investors watch for next?
Looking ahead, investors are bracing for:
Additional tariff details and updates from the Trump administration
Movement in the US Dollar and global commodities
Ongoing developments from Elon Musk and the America Party
Fresh clues on US-EU and US-India trade deals
Market reaction when tariffs come into effect on August 1
Until then, volatility may persist across global markets.
The US stock market is facing heightened uncertainty as President Donald Trump's tariff announcement rattles investor confidence. With Dow futures, Nasdaq, and S&P 500 all trading lower, and Tesla's sharp drop adding fuel to the fire, the market appears to be in a cautious holding pattern. All eyes are now on the next moves from Washington, especially as global trade relations hang in the balance.
FAQs:
Q1: Why did the US stock market fall after Trump's new tariffs?
Because President Trump's new tariffs on 14 countries worried investors and hurt global trade sentiment.
Q2: How did Tesla impact the Dow and Nasdaq this week?
Tesla shares dropped 7% after Elon Musk launched the America Party, dragging major indices down.
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