The stock market reacted negatively to the tariff plan that President Trump announced Thursday at noon, and ended on a steep downturn by the end of the day.
Here's what Trump announced
Although Trump had announced that he was considering imposing tariffs in order to protect the manufacturing sector, he revealed more of his plan Thursday. Trump announced that there would be a $60 billion tariff on Chinese goods, but that they were negotiating with the Chinese government.
"We have an tremendous intellectual property theft situation going on, which likewise is hundreds of billions of dollars, and that's on a yearly basis. I've spoken to the president, I've spoken to representatives of China, we'e been dealing with it very seriously."
"Many countries are calling to negotiate better trade deals because they don't want to have to pay the steel and aluminum tariffs," he explained.
China's Commerce Minister responded that they would be seeking retaliatory measures. "China will not sit idly by and let its legitimate rights and interests be harmed, and will certainly take all necessary measures to resolutely defend its legitimate rights and interests," he said in a statement.
Here's what happened to the stock market
The Dow Jones Index fell by 2.9 percent or 724.42 points by the end of the day, while the Nasdaq index lost 2.4 percent or 178.61 points. The BBC reported that this was the 5th largest fall in the history of the Dow Jones.
Fox News reported on three American companies whose stocks were negatively affected by the tariff announcement. Boeing dropped 5.2 percent, Caterpillar dropped 5.8 percent, and 3M percent.
Stocks impacted by tariffs. @TeamCavuto https://t.co/nZnkTIMhY2— Fox News (@Fox News)1521750118.0
Here's Trump announcing his tariffs Thursday:
Some Trump supporters, like Tucker Carlson, have argued that the health of the stock market is actually opposed to the prosperity of "main street" America.
"It's probably one of the reasons I was elected, one of the main reasons," Trump said of his tariffs.