There is no way to make it look pretty: today the Dow Jones Industrial Average dropped as markets across the world went into the red following Trump’s ‘Liberation Day’ announcement on tariffs. The Dow Jones fared better than other indices, the Nasdaq 100 dropping by 5.41 percent and the S&P 500 by 4.84 percent. But how did the Dow Jones react to today’s market crash?
The biggest shock from amongst the companies that form the Dow Jones Industrial Average was felt at Apple. The tech giant’s stock fell by 9.25 percent as it reeled from repercussions from Trump’s announcement. Its supply chain and U.S. domestic market have been affected. Not to mention exports to other countries.
Amazon dropped by 8.98 percent today following a bullish performance yesterday where it grew by 2 percent. News of Amazon’s bid for TikTok has been overshadowed by market reaction to tariffs.
Banking giant Goldman Sachs stock dropped by 9.21 percent, and JP Morgan’s stock was down 6.97 percent. VISA fared a little better, losing 2 percent.
Which Companies Survived the Market Crash?
Stocks were generally down across the board with only a few exceptions. These included McDonald’s, Johnson & Johnson, and Coca-Cola, which all saw their stock price rise by more than 2 percent. There were few others.
Supply Chain Challenges Impact Dow Jones Industrial Average Companies Most
The biggest impact of yesterday’s tariffs announcement was apparent from the performance of Nike stock. The footwear company saw its stock drop by over 14 percent. Commentators suggest this is partially due to weak earnings and macroeconomic challenges. Others point at new tariffs placed on Vietnam where Nike produces a large amount of merchandise. These tariffs are 46 percent.
Outside of the Dow Jones, other large, listed companies felt the repercussions of tariffs. Dell, another company that depends on an international customer base and supply chain, saw its stock drop by almost 19 percent. Ralph Lauren stock dropped by over 16 percent as retail giants felt the hit of an immediate increase in costs.
There were few reasons for cheer as investors turned to safe havens like the Swiss franc. However, even these traditional safe havens didn’t offer investors the normal certainty they expected. This was best observed when the price of gold dropped by 1.4 percent. Silver fell more sharply at 7.7 percent.
There has been talk of recession today as the Nasdaq slumped to its worst performance since the outbreak of the pandemic. Others will argue that the correction was well overdue.
U.S. voters will be waiting for Trump’s plan for reindustrialization to take effect. Markets will be waiting for some stability. One thing has changed. A good balance sheet isn’t enough to drive investor confidence like it once did.
#DowJones #MarketCrash #Apple #SupplyChain
Author: Andy Samu
Data comes from leading trading platform TradingView.
See Also:
Will Trump’s Liberation Day Cause a Stock Market Crash? | Disruption Banking
How is the Dow Jones Responding to Reindustrialisation? | Disruption Banking
Is The Swiss Franc a Safe Haven in 2025? | Disruption Banking
