Stock Futures Decline Ahead of Trump’s ‘Liberation Day’ Tariff Announcement

NEW YORK, U.S. — U.S. stock futures fell on Sunday night as traders braced for President Donald Trump‘s upcoming tariff announcements, which he has branded ‘Liberation Day.’ Dow futures dropped by 172 points, or 0.4%, while S&P 500 and Nasdaq futures dipped 0.5% and 0.7%, respectively.

The Trump administration’s slew of tariffs is set to take effect on Wednesday, affecting a range of imports, including a significant levy on all cars not manufactured in the United States. The president is also anticipated to reveal additional plans for reciprocal tariffs.

Uncertainty regarding these tariffs has weighed heavily on the stock market, leading to a drop in equities. The market closed lower on Friday, concluding the last full trading week of March amid growing anxiety over trade policies. Trump reportedly urged his advisors to adopt a more aggressive stance on tariffs, with ongoing speculation about the potential impact on foreign automakers and consumer prices.

In a Saturday interview with NBC News, Trump hinted that if foreign automakers increase prices in response to the tariffs, it may further complicate the market landscape. Emmanuel Cau, an equity strategist at Barclays, noted that investors hope to gain clarity on which trading partners will be affected and the magnitude of the new duties.

“Tariff risk has been well telegraphed and is largely priced in corners of the market. So Liberation Day may not be a complete shocker,” Cau wrote in a recent analysis. “However, no one wins from a trade war, and clouds are gathering over the global growth outlook.”

Cau also indicated that negotiations regarding tariffs may begin after April 2, leading to an extended period of uncertainty regarding the final scope, levels, and timing of the tariffs.

Amid these trade anxieties, the stock market is poised to conclude March on a downturn, with the S&P 500 down 6.3% for the month and the Dow Jones Industrial Average set to post a 5.2% loss. The tech-heavy Nasdaq composite is facing an even steeper decline, down 8.1%.

Investors are also anticipating a busy week for economic data, particularly the March jobs report, scheduled for release at 8:30 a.m. ET on Friday, April 4.