Dow sinks more than 600 points as investors assess the risks of rising trade tensions and tougher tech rules
NEW YORK — U. S. stocks fell sharply on Monday after China imposed tariffs on more than 100 products .
China raised import duties on a $3 billion list of U. S. goods in response to a new U. S. tariffs on imported steel and aluminum. Meat producer Tyson Foods ( TSN) slumped 6 percent percent, to $68.78 while Hormel ( HRL) lost 97 cents, or 2.7 percent, to $33.37. Boeing ( BA) slid $6.14, or 1.9 percent, to $321.74, while industrial giant Caterpillar ( CAT) fell 2.75 percent to $143.33.
The Dow was down 610 points, or 2.5 percent, to 23,492 as of 1:42 p.m. Eastern time. The Standard & Poor’s 500 index fell 64 points, or 2.8 percent, while the Nasdaq also lost 2.6 percent.
„Although the macroeconomic impact of tariffs may appear limited when measured by the dollar value of goods affected, if such tariffs are seen by global market participants as signaling an escalation in trade tensions, they will eventually have a broader macroeconomic impact by dampening market sentiment as well as business investment decisions,“ said Atsi Sheth, managing director at Moody’s Investors Service said in a note to clients.
Investors have expressed concern that a trade war between the U. S. and China could slow global commerce and hurt corporate commerce. Starting Monday, China is increasing the tariff rate on eight imported U.
