Stock Market Today: Stocks plunge amid $9.5 trillion global wipeout
Stocks are set for another volatile session as President Trump stands his ground on tariffs despite global market chaos.
U.S. equity futures extended their violent selloff in early Monday trading, with oil and the dollar slumping lower, as global markets continued their historic reaction to President Donald Trump's tariff ambitions and the likely impact it will have on the world's biggest economy.
The S&P 500, which closed out one of the biggest two-day collapses in history on Friday, is set to open in bear market territory at the start of trading day, defined as a 20% decline from its recent all-time high from February 19.
The Dow Jones Industrial Average, meanwhile, slumped 2,231 points, dragging the 30-stock average into a so-called technical correction, defined a 20% decline from a recent all-time high, while the Nasdaq closed in bear market territory after falling 982 points on Friday.
The S&P 500 lost more than $5.4 trillion in value last week, while on a global basis, stocks have lost around $9.5 billion in value, including today's selling in Europe and Asia.
President Trump, meanwhile, has remained defiant in the face of the global market chaos, telling reporters on his return from a three-day trip to his Mar-a-Lago home, where he spent the weekend playing in a golf tournament, that “I don’t want anything to go down, but sometimes you have to take medicine to fix something."
“We’re going to become a wealthy nation again, wealthy like never before,” Trump said. . “We have all the advantages. Forget markets for a second, we have all the advantages.”
Investors aren't in the mood forget just yet, with markets set for another sharp move lower heading into the start of the Monday session, but have pared the worst of their overnight losses, with futures contracts tied to the S&P 500 indicating an opening bell decline of 112 and the Dow priced for a 915 point retreat.
Related: Don't expect the Fed to rescue stocks from tariff gambit
The tech-focused Nasdaq, meanwhile, is called more than 400 points lower with more big downside moves from mega cap names such as Nvidia (NVDA) , Apple (AAPL) , Intel (INTC) and Tesla (TSLA) expected.
Traders are also braced for another day of huge market volatility, with the CBOE Group's VIX index surging 65.2% in overnight trading to $49.82, the highest since August.
At that level, options traders are expecting daily swings of 3.12%, or 158 points, for the S&P 500 each day for the next 30 days.
In overseas markets, selling was fast and relentless, as well, with the European Stoxx 600 benchmark falling 4.4% to the lowest in more than a year, with Britain's FTSE 100 down 3.6% in London.
Overnight in Asia, the Nikkei 225 plunged 7.83% in Tokyo to close at the lowest levels in 18 months, while the regional MSCI ex-Japan index tumbled 8.22% into the end of the Asia session.
More Economic Analysis:
