Wall Street Tumbles Amid Tariff Uncertainty and Tech Stock Decline

Wall Street stocks closed significantly lower due to declines in Nvidia and Tesla, linked to uncertainty over U.S. automotive import tariffs. President Trump planned to announce new tariffs, stoking fears of rising prices and production halts. Meanwhile, Dollar Tree and GameStop saw noticeable gains.

Wall Street experienced a sharp decline on Wednesday, significantly impacted by losses in Tesla and Nvidia, as the market anticipated new U.S. automotive import tariffs. President Trump was expected to unveil these tariffs at a Wednesday press conference, intensifying a global trade conflict initiated this year.

The automotive sector felt immediate tremors, with Tesla shares dropping 5.6% and General Motors falling 3.1%. Investors expressed anxiety regarding the tariffs' magnitude, potential retaliations, and economic repercussions. "Markets detest the ambiguity surrounding tariffs, especially concerning the auto industry," commented Jamie Cox from Harris Financial Group.

Technology stocks also suffered, with Nvidia and Broadcom diving almost 6% and 5% respectively, leading to a 3.3% dip in the PHLX chip index. The S&P 500 decreased by 1.12% to 5,712.20 points, as both the Nasdaq and Dow Jones indices also fell. The decline in optimism among business leaders, coupled with tariff alarms, cast a shadow over the market.

(With inputs from agencies.)