Dow falls 200 points as Trump threatens new tariffs against the EU and Apple: Live updates

CNN

The move against Apple by Trump is the first against a specific company in his tariff rollout this year.
Shares of Apple are now on pace for their eighth straight negative session for the first time since Jan. 2020.
— Alex Harring Stocks fall after Trump ramps up trade war Spencer Platt | Getty Images Stocks retreated Friday morning after Trump ramped up global trade tensions once again.
If that is not the case, a Tariff of at least 25% must be paid by Apple to the U.S.,” Trump wrote in the post.
— Brian Evans Stock futures rise Stock futures were higher on Thursday as investors try to shake off rising Treasury yields.

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News from Getty Images | Getty Images | Michael M. Santiago.

Friday saw a drop in stocks as President Donald Trump stoked trade concerns once more, warning Apple and suggesting higher tariffs on the EU.

236 points, or 0.6 percent, were taken off the Dow Jones Industrial Average. The Nasdaq Composite fell 0.9 percent, and the SandP 500 fell 0.7 percent.

After Trump claimed on Truth Social that iPhones sold in the United States, Apple’s stock fell more than 2%. S. in the United States. S. . and if not, “Apple must pay a tariff of at least 25 percent.”. Trump’s move against Apple is the first time he has targeted a single company with tariffs this year.

Qualcomm and Micron both saw a 2% drop. Shares of Nvidia dropped 1%.

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In addition, the president suggested “a straight 50 percent tariff on the European Union, starting on June 1, 2025” and claimed that trade talks with the EU “are going nowhere”. “..”.

Following CNBC’s Eamon Javers’ report that the White House did not consider Trump’s comments to be a formal policy statement, stocks recovered from their day’s lows.

As tensions over tariffs were beginning to subside, Trump took these actions. Trump imposed taxes on the majority of countries in April, which shook the stock market and almost sent the S&P 500 into a bear market. After that, the president negotiated some initial agreements with the U.S. and put a 90-day hold on the highest tariffs. K. . and China, which led to a recovery in stocks. Last week, the S&P 500 recovered to its year-to-date level.

During this three-month lull, investors were purchasing stocks on the assumption that more agreements would be announced with different countries. It’s possible that Trump’s actions on Friday made that optimism misplaced.

A re-escalation of trade war rhetoric threatens the market’s recent six-week run of success, which has been fueled by a de-escalation tailwind. The market has experienced one of its best six-week runs in the last 75 years. Unless it really ramps up, I don’t think we’ll retest the lows or anything like that, but from the market’s point of view, this is undoubtedly a step in the wrong direction,” Baird investment strategist Ross Mayfield told CNBC.

The market’s weekly losses increased as a result of Friday’s drops. This week, the S&P 500, Dow, and Nasdaq have all dropped more than 2%.

This “roller coaster ride” of de-escalating and re-escalating tariff tensions is likely to be a permanent feature of Trump’s second term, according to Rick Wedell, president and chief investment officer at RFG Advisory.

It is crucial that investors realize that this persistent trade problem will probably persist for the duration of this administration, in my opinion. They won’t, in my opinion, ever turn a blind eye to trade. “I believe that fixing the international trade agreements is one of the administration’s defining legacies,” he said. In any case, I would simply advise investors to avoid being seduced into a false sense. “.

Investors say that since Trump escalated trade tensions, the likelihood of a recession has increased.

Dr. Investors now perceive higher odds of a recession after President Donald Trump re-escalated trade tensions on Friday morning, according to Komal Sri-Kumar, president of Sri-Kumar Global Strategies.

“Observe how equity futures have fallen in value while long-dated U.S. S. Bond yields have decreased. This is because markets think there is a greater likelihood of a recession,” he stated. “Over the coming days, I expect yields to increase as well. Why? Because a recession is not the only risk—stagflation is as well. “.

Trump’s decision to withdraw his proposed 145 percent tariff on Chinese goods did not put an end to the trade war, Sri-Kumar pointed out, but rather gave it a “brief respite.”. In recent years, the European Union has become a more significant trading partner, he continued.

Sri-Kumar stated, “[Trump] also suggests a 50 percent tariff on imports from Europe.”. “Keep in mind that the EU outperformed China as the biggest exporter to the US in 2024. “.”.

— Han Lisa Kailai.

Right now, every S&P 500 sector is down for the week.

All 11 of the S&P 500’s sectors were pacing to end the week lower after Friday’s market movements.

The weekly losses were mostly in the energy sector, which was down 4 points. The communication services industry is expected to finish the week with a 0.3 percent decline after dropping 0.6 percent on Friday.

Han, Lisa Kailai.

The market value of Apple drops below $3 trillion.

Friday saw a more than 2 percent decline in Apple shares after President Donald Trump declared on Truth Social that a 25 percent tariff “must be paid by Apple” on iPhones sold outside of the United States. A.

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After a decline on Friday, Apple’s market capitalization fell back below $3 trillion. The last time it closed below that mark was on May 9.

The “above $3 trillion market capitalization” group still includes Microsoft and Nvidia.

Apple’s stock is currently headed for its eighth consecutive negative session, which hasn’t happened since January. 2020.

Both Lisa Kailai Han and Nick Wells.

Three S&P 500 stocks are trading at all-time highs.

As seen below, three S&P 500 stocks reached new 52-week highs on Friday despite the stock market’s decline.

When it spun off from Altria in March 2008, Philip Morris was trading at record highs.

Returning to its spin-off from GE in April 2024, GE Vernova was trading at record highs.

Since its 1993 initial public offering, Intuit has been trading at record highs.

However, three benchmark stocks fell to their lowest levels in 52 weeks. This included:.

CarMax is currently trading at its lowest level since November 2023.

Since February 2019, Campbell Soup Company’s stock has not been this low.

Since April 2020, Kraft Heinz has not traded at such lows.

The value of Revvity is at its lowest level since December 2023.

Hayes Christopher, Kailai Han Lisa.

The White House thinks that Trump’s tariff remarks are causing the market to overreact.

Eamon Javers of CNBC reported that the White House believed the stock market was overreacting to Trump’s remarks about tariffs on Friday morning.

Javers went on to say that the White House did not consider the president’s post to be an official policy declaration.

According to Javers, U. A. The president’s post earlier today might have been an attempt to give Trade Representative Jamieson Greer more room and leverage to negotiate when he calls his European counterparts later today.

Christina Wilkie and Jesse Pound.

The CEO of the Blue Chip Daily Trend Report cautions that Apple should continue to face pressure.

Following Trump’s announcement of a special tariff on iPhones, Blue Chip Daily Trend Report CEO Larry Tentarelli advised investors not to purchase the decline in Apple stock.

In an email to CNBC, he stated, “The tariff headlines surrounding Apple … will probably remain as an overhang on the stock.”.

According to Tentarelli, the stock’s recent poor performance in comparison to the Invesco QQQ Trust (QQQ) validated his worries about it.

Tentarelli stated, “Unless there is a major resolution here, we would not be buyers of AAPL stock currently.”. “AAPL is unlikely to consider shifting production to the United States. A. because of the higher cost, and 25 percent tariffs would probably be significantly lower than the cost of production increases. “.

“Overall though,” he continued, “this should keep pressure on AAPL.”.

Alex Harring.

Goldman: Of the staples, Monster is “one of the most attractive growth stories.”.

Goldman Sachs wrote a note to clients praising Monster Beverage.

According to a note released Thursday, analyst Bonnie Herzog stated, “We think MNST is one of the most alluring growth stories in broader Staples.”.

Herzog went on to say, “We still think MNST has a lot of room to increase gross profit dollars (and improve gross margins) through a combination of incremental topline growth opportunities from strong innovation & pricing, while moderating input costs provide a clear line of sight to [Green Monster] recovery.”. In the end, we believe [that] ought to act as a favorable stimulant and encourage an additional stock re-rating. “.”.

— Harring, Alex.

As Trump escalates the trade war, stocks decline.

Platt, Spencer | Getty Images.

After Trump escalated international trade tensions once more, stocks fell Friday morning.

1 percent, or 413 points, were taken off the Dow Jones Industrial Average. The Nasdaq Composite lost 1 point 6 percent, while the S&P 500 dropped 1 point 2 percent.

Lisa Kailai Han.

When Trump recommends EU tariffs, European stocks plummet.

Following Trump’s proposal for a 50% tariff on the European Union, premarket trading saw a decline in the shares of a number of European banks and luxury brands.

U. S. -listed shares of Deutsche Bank fell 5 points, and ING Groep and HSBC both saw declines of roughly 2 percent. Banco Santander, which is based in Spain, lost roughly 1 percent.

Hermes International, the manufacturer of Birkin, and LVMH also declined.

Most recently, the Stoxx Europe 600 index was down 0.5 percent.

Pia Singh.

Premarket is when stocks move the most.

Before the bell rings, see which businesses are in the news.

Following President Donald Trump’s announcement on social media that Apple will be required to pay a tariff of at least 25 percent for iPhones manufactured outside of the United States, the tech giant’s shares fell 3 to 5 percent in premarket trading. S.

Reuters reported, citing sources, that Trump will sign orders to increase nuclear power as early as Friday. This news caused stocks linked to nuclear energy to rise collectively. Oklo and NuScale’s stock increased by over 8% apiece. Cameco increased 4%, while Constellation Energy increased 2%.

Intuit— Following the tax software company’s optimistic full-year outlook, shares surged by almost 8%. As opposed to its prior guidance of $19.16 to $19.36 per share, Intuit now anticipates adjusted earnings in the $20.07 to $20.12 range. According to FactSet’s consensus estimates, analysts anticipated earnings per share of $19–140. The third-quarter fiscal results of the company also exceeded projections.

Go here to read the full story.

— Min Sarah.

Trump’s rumored executive orders to support the nuclear industry cause nuclear stocks to rise.

Reuters | Shannon Stapleton.

Stocks of nuclear power companies surged Friday after Reuters was informed by people with knowledge of the situation that Trump will issue executive orders to expedite reactor construction and secure essential materials for the sector.

According to the sources, Trump could sign the orders as early as Friday. At 1:00 PM, Trump is expected to sign orders in the Oval Office, according to the official White House calendar. M. ET. .

NuScale and Oklo, two advanced reactor companies, saw increases of 11% and 9%, respectively. shares of Constellation Energy, the United States’ biggest nuclear operator. A. increased by almost 4 percent, according to Cameco Corp. increased by 5%. It is one of the biggest uranium miners in the world.

— Lisa Kailai Han and Spencer Kimball.

Trump suggests imposing a 50% tariff on the EU.

| Nurphoto | Getty Images | Jakub Porzycki.

Trump claimed on Friday that he is “recommending a straight 50 percent Tariff on the European Union,” pointing to the failure of trade talks between the United States and the bloc. S. On June 1, Trump’s proposed tariff would go into effect.

In a post on Truth Social, Trump described the European Union as “extremely challenging to work with.”. “,”.

“They have a trade deficit with the United States as a result of their strong trade barriers, VAT taxes, absurd corporate penalties, non-monetary trade barriers, monetary manipulations, unwarranted and unjustified lawsuits against American companies, and more. S. . of over $250,000,000 annually—a sum that is completely intolerable. He wrote, “Our conversations with them are not progressing at all.”.

“No tariffs will be imposed for any products built or manufactured in the U.S.” the president added. A.

Lisa Kailai Han.

Trump announces a 25% tariff on Apple iPhones that are sold outside of the United States. A.

Lo Florence | Reuters.

Following Trump’s announcement on Truth Social that a 25 percent tariff “must be paid by Apple” on iPhones sold but not manufactured in the United States, Apple’s stock dropped 3% during Friday’s premarket trading hours. S.

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“I’ve long told Tim Cook of Apple that I anticipate their iPhones sold in the US will be made and constructed in the US, not in India or any other country. If not, Apple is required to pay the United States a tariff of at least 25 percent. S. “In the post, Trump wrote.

— Han Lisa Kailai.

Wells Fargo gives Sonoco Products a double upgrade.

Sonoco Products received a rare double upgrade from Wells Fargo on Friday.

Gabe Hajde, the analyst, upgraded the manufacturer’s rating from underweight to overweight. Hajde also increased his price target by $10 to $55, meaning that it is 21.9% higher than Thursday’s closing price.

“With valuation well below historical averages and a relatively clear path to higher profits, we view the shares as attractive,” Hajde wrote in a note explaining the call to clients on Friday.

Additionally, Hajde pointed out that the company’s attempts to streamline operations have begun to approach the “late” stages.

Premarket trading on Friday saw a more than 1 percent increase in shares. 2025 has seen the stock drop more than 7%, setting it up for its third consecutive year of declines.

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Alex Harring.

A president cannot fire Fed board members, according to the Supreme Court.

Getty Images | Saul Loeb | Afp.

On Thursday, the Supreme Court proposed giving Federal Reserve board members extra protection against a president’s dismissal.

Although this decision allows President Donald Trump to remove two members from federal agency boards, it also implies that the Supreme Court would oppose a president’s attempt to remove a member of the Federal Reserve board.

The majority ruling stated that the Federal Reserve is a quasi-private organization with a unique structure that carries on the unique historical tradition of the First and Second Banks of the United States.

The Supreme Court’s ruling can be read more about here.

Mangan, Dan, and Darla Mercado.

After hours, the largest movements in stocks occur.

See which companies are grabbing the most attention in extended trading.

The stock of Ross Stores fell more than 11%. Ross revoked its previous full-year forecast. According to the discount retailer, second-quarter earnings should be between $1.40 and $1.55 per share, while LSEG’s poll of analysts predicted $1.65 per share. Additionally, Ross stated that it anticipates pressure on its profitability should tariffs continue to be high.

AutoDesk — After the software company released a better-than-expected second-quarter outlook, shares experienced a gain of over 2 percent. AutoDesk projected adjusted earnings for the current quarter to be between $2.44 and $2.48 per share, based on revenue of between $1.72 billion and $1.73 billion. According to an LSEG survey, analysts anticipated $1.70 billion in revenue and $2.34 in earnings per share.

Intuit — After predicting a positive outlook for the entire year, Intuit’s shares of the tax software company increased by roughly 8%. From its previous guidance of $19.16 to $19.36 per share, the company now forecasts adjusted earnings in the range of $20.07 to $20.12 per share. According to FactSet consensus estimates, each share was valued between $19 and $40. Results for the fiscal third quarter also exceeded forecasts.

Go here to read the complete list.

Brian Evans.

Futures on stocks move up.

Thursday saw higher stock futures as investors attempted to offset rising Treasury yields.

Futures linked to the Dow Jones Industrial Average saw a 59-point increase, or 0.1%. S&P 500 futures and Nasdaq 100 futures both saw increases in trading.

— Evans Brian.

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