Following President Trump's announcement of significant reciprocal tariffs, US stock futures declined, causing turmoil in the markets.

Futures tied to the Dow Jones Industrial Average (YM=F), the S&P 500 (ES=F), and the Nasdaq Composite (NQ=F) dropped by 0.2%.

President Trump stated that the US's effective tariff rate reached its highest level in over a century, leading to extensive market repercussions. This resulted in stocks experiencing their most significant one-day decline since 2020, erasing roughly $2.5 trillion.

Trump, talking to the press on Air Force One, expressed satisfaction with the progress of the tariffs and indicated openness to negotiating lower rates with other countries.

Economists on Wall Street are cautioning that the current tariffs heighten the risk of a recession. Additionally, traders are increasing their expectations for Federal Reserve interest rate cuts due to concerns about slowing economic growth surpassing worries about increased prices.

The focus will shift to the March jobs report for investors on Friday. Nonetheless, experts believe that the report might not sufficiently allay market concerns about an imminent economic downturn.