Market Turmoil: Trade Wars and Tech Slump Hit Wall Street

Wall Street indexes fell on Monday as President Trump's comments heightened trade war fears, potentially leading to an economic slowdown. Tech giants and bank stocks experienced significant losses, while Chinese retaliatory tariffs are set to impact U.S. imports. A technical correction is observed in Nasdaq amid market volatility.

Wall Street's primary indexes took a tumble on Monday following comments from U.S. President Donald Trump that incited fears of a trade war leading to an economic downturn. The Nasdaq and S&P 500 approached five-month lows as key tech stocks plunged.

The declines were felt across mega-cap growth stocks, with Nvidia, Meta, and Amazon all dropping, and Tesla losing 7% following a UBS forecast cut. The technology sector led the downfall on the S&P 500, which fell 2.6%.

Trump's discussion of potential U.S. recession and fluctuating trade policies with major partners like Mexico, Canada, and China contributed to market anxiety. Reuters reported 91% of economists see a rise in recession risks due to trade uncertainties.

(With inputs from agencies.)