US stocks have taken a severe hit under President Donald Trump’s trade war, with the Dow Jones Industrial Average tumbling 9.1% in the first three weeks of April, its worst performance since 1932. The broader S&P 500 has also plunged 14% through April 21, the worst start to a term for any president since records began in 1928.
Traders are pulling money out of US stocks and bonds, opting instead for international investments that have risen 2.9%. Gold prices have surged, more than doubling during Trump’s new term, as investors seek safe havens from the trade war’s uncertainty.
The International Monetary Fund warned Tuesday that the global economy is entering a “new era” with rapidly slowing economic growth and rising inflation on the horizon. The IMF attributed this to Trump’s trade policies, including the recent tariff announcement known as “Liberation Day,” which forced economists to re-evaluate their projections.
As a result, business leaders are expressing concern about the impact of Trump’s policies on the economy, with Goldman Sachs CEO David Solomon stating that high levels of uncertainty will hurt economic growth. The situation is expected to worsen in the coming days and weeks as investors continue to navigate the complex and unpredictable landscape created by Trump’s trade war.
Source: https://edition.cnn.com/2025/04/22/investing/dow-great-depression-sell-america-trade/index.html