Washington, D.C. — U.S. stocks fell sharply on Thursday, wiping out gains from a historic rally the previous day. The Dow Jones Industrial Average dropped by 1,014.79 points, or 2.5%, and the S&P 500 decreased by 3.46%. The Nasdaq Composite plunged 4.31%, with tech stocks leading the decline. Major tech companies like Amazon, Google, and Microsoft faced losses ranging from nearly 6% to almost 7%.
President Donald Trump, during a Cabinet meeting, hinted at potentially returning to higher tariff rates if he doesn’t reach favorable agreements with other countries. When asked about extending the current pause on tariffs, Trump said, ‘We’ll have to see what happens.’
The White House confirmed on Thursday that the current U.S. tariff rate on goods from China has soared to 145%. Recent executive actions raised this rate to 125%, adding to a 20% tariff related to fentanyl, which was implemented earlier.
Concerns about these escalated tariffs have left investors wary, as many believe that Trump’s focus on China could hinder economic growth. Andy Jassy, CEO of Amazon, spoke on CNBC regarding the ongoing impact of tariffs on their operations. He mentioned that Amazon is recalibrating its strategies, including canceling some direct import orders from vendors in China, suggesting that the company is being cautious in light of these developments.
Although Jassy did not directly address the tariffs in his interview, he did mention that Amazon is engaging in ‘strategic forward inventory buys’ to manage costs and is renegotiating terms on some purchase orders to keep prices competitive.
Jamie Dimon, CEO of JP Morgan Chase, acknowledged that their performance exceeded quarterly expectations amidst these economic uncertainties. In contrast, Charlie Scharf, CEO of Wells Fargo, emphasized the need for a ‘timely’ resolution to the trade situation.
In a broader reflection on the economy, the average Major League Baseball team is now valued at approximately $2.62 billion, according to CNBC’s Official MLB Team Valuations for 2025. The New York Yankees lead as the most valuable franchise, worth $8 billion, and they rank just behind the NFL‘s Dallas Cowboys and the NBA‘s Golden State Warriors among all North American sports teams.
