Dow plummets as Trump escalates Canada trade war

U.S. stocks have experienced significant declines, with the Dow Jones and S&P 500 both sliding due to escalating trade tensions initiated by President Trump. On Tuesday, the Dow fell nearly 800 points after Trump announced a 25% tariff increase on Canadian steel and aluminum, effectively doubling the total tariffs to 50%. This move came in retaliation to Canada's own tariff on U.S. electricity exports, further exacerbating market volatility and uncertainty. Analysts warn that Trump's aggressive trade policy is undermining investor confidence and could signal a temporary pause in U.S. economic dominance. The ongoing uncertainty surrounding trade policies is expected to weigh heavily on market performance in the coming months. As a result, experts are advising investors to exercise caution, particularly with tech and growth stocks, which are experiencing heightened volatility.