Stock Market Today: Nasdaq, S&P 500 Slide as Tech Lags After Trump Backs Tariff Plans
US stocks experienced a downturn on Monday, with investors closely monitoring President Donald Trump’s tariff policies and eagerly awaiting this week’s earnings from tech giant Nvidia (NVDA). The Dow Jones Industrial Average (^DJI) remained relatively unchanged, following its worst week since October. The S&P 500 (^GSPC) declined by 0.5%, while the tech-heavy Nasdaq Composite (^IXIC) fell by 1.2%.
The market’s attempt to recover from Friday’s steep declines was short-lived, as concerns about Trump’s tariff plans continued to weigh on investor sentiment. During a press conference, President Trump indicated that tariffs on Mexico and Canada would proceed as scheduled once a one-month delay expires next week. This announcement intensified selling in the final hour of trading.
Investors are now turning their attention to Nvidia’s earnings report, scheduled for Wednesday, to gauge how the AI chipmaker plans to navigate the looming tariff threat. Additionally, the demand for AI technology from major tech companies and the risks posed by China-based DeepSeek’s lower-cost alternatives are also under scrutiny.
Nvidia’s stock price dropped by 3%, and Microsoft (MSFT) also saw a decline following an analyst report suggesting a pullback in data center construction. In contrast, Apple (AAPL) shares rose slightly after the company announced a $500 billion investment plan in the US, including the establishment of a manufacturing facility in Houston and the creation of 20,000 new jobs.
Other key events this week include the release of the January Personal Consumption Expenditure (PCE) index on Friday, which is the Federal Reserve’s preferred measure of inflation. Reports on US GDP, the housing market, and consumer confidence are also expected in the coming days.
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