US, European Futures Fall After Trump Announces Tariffs on Canada, EU

U.S. stock futures declined following President Donald Trump's announcement of a new 35% tariff on Canadian imports effective August 1, contributing to increased trade tensions with Canada and Europe. Despite the tariff threats, major U.S. indices like the S&P 500 and Nasdaq reached record highs earlier in the week, fueled by strong corporate earnings and a historic valuation for Nvidia. The tariffs also include a 50% levy on copper imports and additional proposals targeting Brazil and other nations, with further letters to Canada and the EU anticipated. The market reaction was cautious, with futures for the Dow, S&P 500, and Nasdaq all slipping approximately 0.4% after the announcement. Globally, futures in Europe and Asia also declined, reflecting concerns about the broader impact of escalating trade conflicts on international markets. Investors remain watchful ahead of upcoming corporate earnings reports to assess the longer-term effects of the expanding U.S. trade policies.