The S&P 500 index closed below the 5,000-point mark for the first time in nearly a year, dropping 1.6% and leading to a loss of $5.8 trillion in market value since President Donald Trump announced substantial tariffs against U.S. trading partners. This decline represented over 12% in the most significant four-day drop since the pandemic began.

The index finished almost 19% below its peak close on Feb. 19, edging towards a 20% drop that would classify it as a bear market. The Dow Jones Industrial Average slipped by 0.84%, and the Nasdaq Composite fell by 2.15%.

Market analysts express concern over the uncertainty surrounding trade wars and earnings forecasts, highlighting the challenges investors face in making informed investment decisions amid volatile market conditions. They emphasize the need for caution and strategic thinking in navigating the current economic landscape.