Wall Street stocks declined sharply on Wednesday after data showed the US economy contracted in the first quarter, deepening concerns about the economic impact from President Donald Trump’s tariff policies.
About 15 minutes into trading, the Dow Jones Industrial Average fell 1.6%. The broad-based S&P 500 dropped 2% to 5,449.09, while the tech-rich Nasdaq Composite Index slumped 2.6% to 17,005.71.
The gross domestic product (GDP) of the world’s largest economy fell at an annual rate of 0.3% in the first quarter, due to a surge in imports from businesses seeking to get ahead of Trump’s myriad tariffs.
A report by payroll firm ADP said private sector employment rose by 62,000 in April, a sharp drop from a revised 147,000 in March.
Investors are worried that uncertainty over Trump’s changing tariff policy is freezing corporate budgets and depressing consumer spending.
Gainers and Losers
Starbucks shares tanked 7.9% after the coffee giant reported about a 50% fall in quarterly profit to $384.2 million.
Mondelez stock gained 3.3% as the company reported flat revenue but confirmed its full-year forecast.
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