Markets React to White House Tariffs
The Weekly Update
Week of April 7th, 2025
By Christopher T. Much, CFP®, AIF®
Stocks fell broadly last week as domestic and foreign markets reacted to the White House’s tariffs.
The Standard & Poor’s 500 Index declined 9.08 percent, while the Nasdaq Composite Index fell 10.02 percent. The Dow Jones Industrial Average dropped 7.86 percent. The MSCI EAFE Index, which tracks developed overseas stock markets, lost 7.39 percent.
Under Pressure
Stocks rallied the first half of the week as markets tried to anticipate the potential impact of tariffs previously announced by the White House.
Soon after the closing bell on Wednesday, President Trump’s new tariffs surprised markets. Global markets reacted to the news overnight.
Markets opened lower on Thursday, and the selling continued through Friday. Treasuries rallied in a flight to quality as investors moved to the sidelines. The yield on the 10-year Treasury note closed Friday at 4.0 percent. Bond yields generally fall when bond …
