Market Reacts to Trade War Escalation

Major Wall Street indices opened lower following President Donald Trump's announcement of a 35% tariff on Canadian goods, effective August 1. Additionally, Trump revealed plans to send new tariff rates to the European Union, potentially ranging between 15% to 20%.

Global Responses to US Tariffs

In a retaliatory move, Brazilian President Luis Inacio Lula da Silva hinted at imposing a reciprocal tariff on the US, responding to Trump's 50% levy on Brazilian exports. This development marks a significant escalation in global trade tensions.

Stock Market Performance

At the opening bell, the Dow Jones Industrial Average fell by 0.60%, with Nike shares dropping 1.35%. The Nasdaq 100 saw a 0.32% decline, led by Biogen's 1.23% fall. Similarly, the S&P 500 decreased by 0.44%, with Vistra experiencing a 2.03% drop.

The euro remained stable against the dollar, trading at $1.16952.