Wall Street's Tariff Turmoil: Trade Uncertainty Weighs on Stocks

On Tuesday, U.S. stocks dipped due to ongoing tariff concerns and declines in consumer and healthcare shares. Positive bank earnings, especially from Bank of America, offered some support. President Trump's tariffs continue to unsettle markets, prompting sector downgrades and affecting investor sentiment.

U.S. stocks experienced a decline on Tuesday amid ongoing tariff concerns, with healthcare and consumer shares under pressure. Despite this, strong bank earnings, including robust results from Bank of America, helped prop up financial stocks.

Filings from the Federal Register indicated the Trump administration is advancing with tariff probes into pharmaceuticals and semiconductors. Healthcare giant Merck & Co saw its stock dip, while Johnson & Johnson faced declines due to lower-than-expected sales in medical devices. Nevertheless, the company exceeded Wall Street expectations for first-quarter results.

Investment strategist Ross Mayfield emphasized that market movements are primarily driven by tariff uncertainties, overshadowing otherwise positive earnings reports. Analysts predict continued volatility until clarity is reached on tariff policies, a sentiment echoed as financial indices like the Dow and S&P 500 posted moderate losses.

(With inputs from agencies.)