Tariff Tensions: Wall Street Dips Amid Economic Concerns

Wall Street saw a downturn as President Trump announced 25% tariffs on Canada and Mexico. The dip was further impacted by declining U.S. manufacturing data and looming tariffs on China. Investor sentiment was cautious amid fears of an economic slowdown and potential inflation due to trade policies.

The main stock indices on Wall Street declined after President Trump confirmed the implementation of 25% tariffs on Canada and Mexico. This news came in the wake of U.S. manufacturing data indicating a slight decrease, causing investors to be wary of an economic slowdown.

The manufacturing Purchasing Managers' Index (PMI) in the U.S. dropped, highlighting broader economic concerns. Investors, already apprehensive due to tariff policies and potential trade wars, saw further bearish trends with Wall Street's significant point losses.

Simultaneously, threats of additional tariffs on Chinese imports raised fears of retaliation from Beijing. The Federal Reserve remains cautious about potential interest rate cuts, as the economic sentiment further dims amid reports of waning consumer demand and inflationary pressures.

(With inputs from agencies.)