US Stocks Tumble on Inflation Concerns and Trade Disruptions
Stocks in the US closed sharply lower on Friday, weighed down by rising inflation concerns and growing trade policy uncertainty.
The S&P 500 slid 2%, the Dow Jones sank 715 points, and the Nasdaq 100 tumbled 2.7%. Tech giants led the decline, with Alphabet, Amazon and Meta dropping over 4% each, and Microsoft fell 3%.
Inflation worries intensified after the University of Michigan’s final consumer sentiment reading for March showed the highest long-term inflation expectations since 1993.
Meanwhile, the core PCE price index, the Fed’s preferred inflation measure, rose 2.8% in February, surpassing forecasts, while consumer spending grew 0.4%.
Investors braced for further trade disruptions as Trump’s 25% auto tariff takes effect next week, sparking concerns of retaliatory measures from key trading partners.
The S&P 500 and Nasdaq lost over 1% and 2% respectively, booking their fifth weekly drop in six weeks, while the Dow declined 0.8%.
Source: Trading Economics
