Fiona Jackson
U.S. President Donald Trump announced on Tuesday a host of new tariffs that sent the stock prices of numerous tech giants plummeting. He applied individual “reciprocal” tariffs to several nations, equivalent to half of its trade deficit with the U.S., and a baseline 10% levy on all imports.
- Goods from Vietnam are now subject to a 46% reciprocal tariff
- 32% on imports from Taiwan
- 26% from India
Additionally, China faces a 34% reciprocal tariff, which is on top of the 20% tariff that has been in effect since March.
By Thursday’s close, NVIDIA’s stock had fallen by nearly 8% as a result of the tariffs announcement, while Amazon and Meta dropped by 9% each, according to CNBC. Apple led the declines, tumbling 9% — its steepest drop since the COVID-induced market sell-off in March 2020.
Shares of Microsoft and Alphabet both fell about 2% and 4%, respectively. The Nasdaq Composite Index, a benchmark heavily weighted toward tech stocks, dropped by almost 6%. This is all due to fears that their operational costs will rise and that supply chains, which rely heavily on overseas manufacturing and imports, will be disrupted.
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