Trade tensions are heating up to start the week after President Trump made comments about possibly imposing global auto tariffs.
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Dow Jones futures were down by 0.84%. The S&P 500 fell 0.70% and the Nasdaq Composite was down 0.96%.
President Trump told Maria Bartiromo in an interview on FOX’s Sunday Morning Futures that auto tariffs were his biggest weapon to extract concessions from trading partners.
“You know, the cars are the big one,” said Trump. “We can talk steel, we talk everything. The big thing is cars.”
The President was referring to the prospect of imposing 20% tariffs on imported vehicles in the name of national security, a proposal his administration is studying.
Chinese stocks on Monday handed back their gains from a bounce late last week as worries mount ahead of a U.S. move to impose $34 billion of tariffs on Chinese exports.
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Japan’s Nikkei dropped 2.2%, to a 2 ½ month low.
China’s Shanghai dropped 2.6%
Hong Kong’s hang Seng closed for a holiday.
In Europe, London’s FTSE traded lower by 0.7%, Germany’s DAX was down 1.3% and France’s CAC is off 1%.
On Monday’s U.S. economic calendar, traders will digest the latest ISM manufacturing report.
This will be a holiday shortened trading week as U.S. markets will be closed Wednesday for Independence Day.
Stocks rose on the final day of June, cementing a positive second quarter for all three major U.S. stock indexes.
The Dow Jones Industrial Average gained 55.56 points to 24,271.61. The S&P 500 rose 2.07 points to 2,718.37. The Nasdaq Composite was up 6.62 points at 7,510.3.
| Ticker | Security | Last | Change | %Chg |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 24271.41 | +55.36 | +0.23% |
| SP500 | S&P 500 | 2718.37 | +2.06 | +0.08% |
| I:COMP | NASDAQ COMPOSITE INDEX | 7510.3037 | +6.62 | +0.09% |
For the week , the Dow fell 1.26%. The index has fallen 3 Weeks in a Row, Longest Losing Streak in More Than 2 Years.
The S&P 500 lost 1.33% and the Nasdaq was down 2.37%.
As for the quarter, the Dow and S&P 500 rose 0.7% and 2.9%, respectively, to bounce back from losses suffered in the first three months of the year.
The tech-heavy Nasdaq has added 6.3%, its strongest three-month period of trading since the first quarter of 2017.
FOX Business’ Leia Klingel and Matthew Rocco contributed to this article.
