U.S. stock prices dropped on Monday because investors became concerned about Trump’s trade policies and Federal Reserve criticism which led them to leave American markets. The S&P 500 (SPY) dropped 2.8% to $511.899 after reaching $526.41 on April 17, 2025 and this represents a 16% decline from its February peak of $613.23. The Dow Jones Industrial Average (DIA) lost 1,062 points which represents a 2.7% decline from its previous close of $391.36 and Big Tech losses particularly affecting Tesla caused the Nasdaq to drop 3.2%.
The U.S. dollar experienced a rare decline in value because Washington’s policies created worldwide uncertainty about its traditional safe-haven status. X users express worry that Trump’s tariffs are damaging the dollar’s position as the global reserve currency because its value has decreased by 9% since January. Trump maintained his tariff stance throughout the weekend despite receiving warnings from economists that it could lead to a recession. Macquarie strategist Thierry Wizman reported that failed U.S.-Japan trade negotiations created widespread market fears because they were considered essential for the talks’ success.
Market participants are withdrawing their investments because uncertainty about tariffs creates both rising expenses and economic deceleration. The S&P 500’s 11.1% monthly decrease from $573.8282 on March 24 demonstrates that investors have become increasingly worried about U.S. financial stability.
