Dow drops 200 points on Trump's tariffs

by Nathaniel Meyersohn @CNNMoneyInvest
May 31, 2018: 12:32 PM ET

Wall Street is worried about a trade war again.

President Trump's move to impose tariffs on steel and aluminum from Canada, Mexico and the European Union drove the Dow lower by 200 points on Thursday, or 0.8%. The S&P 500 and the Nasdaq were mixed.

Trump is placing a 25% tariff on imported steel and 10% on imported aluminum. The tariffs will go into effect at midnight.

Investors fear that trade restrictions will raise costs and dent profits for companies that rely on the materials to produce their goods.

Wall Street is also bracing for Canada, Mexico or the EU to target US industries with retaliatory tariffs. And the Trump administration is pushing ahead with plans for tariffs on $50 billion worth of Chinese goods as punishment for intellectual property theft.

http://money.cnn.com/2018/05/31/investing/stock-market-today-dow-jones-nasdaq-steel-aluminum/index.html