Stocks fell sharply on Monday as uncertainty about new tariffs and fears of artificial intelligence disruptions weighed on Wall Street. The Dow dropped 823 points, or 1.66%, its worst day in a month. The S&P 500 fell 1.04%, while the Nasdaq Composite sank 1.13%.
President Trump’s announcement to hike tariffs to 15% sparked renewed focus on the issue, despite the Supreme Court striking down previous tariffs using emergency powers. This has created confusion among investors about potential refunds and clouded the outlook for stocks.
Meanwhile, tech-heavy stocks continued to struggle due to lingering weakness in technology and AI sectors. The Nasdaq is down roughly 5.8% since its record high in October. Fears of AI disruption have also weighed on markets, with some stocks plummeting after a report was published outlining hypothetical scenarios for how developments in AI could impact certain parts of the economy.
Gold rose 3.4% and climbed above $5,200 a troy ounce as investors sought a safe-haven asset amid market uncertainty. However, Bitcoin dropped over 4% on the day, hovering around $64,600, and is down almost 50% since its record high in October.
Market analysts attribute the market’s weakness to multiple factors, including the unpredictability surrounding Trump’s tariff policies, lingering concerns about private credit, US-Iran tensions, and the ongoing struggles of tech-heavy stocks. As one analyst noted, “The key issue for markets is not just the tariff level itself, but the unpredictability surrounding what comes next.”
Source: https://edition.cnn.com/2026/02/23/investing/us-stocks-trump-tariffs