United States stock futures continued their decline on Thursday evening (Friday AEDT), following a sharp sell-off during regular trading hours that pushed major benchmarks to multi-month lows as President Donald Trump’s sweeping tariff measures triggered the steepest drop in U.S. equities in five years.
By 9:30 am AEDT (10:30 pm GMT), Dow Jones Industrial Average futures and S&P 500 futures were down 0.4%, while Nasdaq-100 futures slipped 0.3%.
During Thursday’s session, the Dow, S&P 500, and Nasdaq Composite plunged 4%, 4.8%, and 6%, respectively. The S&P 500 re-entered correction territory, having fallen over 10% from its recent record highs.
The global market rout followed Trump’s announcement on Wednesday of a 10% baseline tariff on all imported goods, set to take effect on April 5.
Uncertainty now looms over whether countries can negotiate trade deals to mitigate the tariffs. Trump signalled that he is open to discussions, marking a shift from earlier remarks by administration officials.
ANZ analysts highlighted growing international backlash: "Several E.U. and Asian economies have voiced their displeasure, and Canada responded by imposing a 25% tariff on US cars not compliant with USMCA terms.
"Spain’s prime minister said that US tariffs are 'an excuse to harm countries' as he announced a €14.1 billion aid and financing plan, urging the EU to establish a fund for affected industries. Both France and Germany reportedly support a stronger tariff response.
"Meanwhile, China condemned the measures and called for bilateral tariffs to be removed, while considering countermeasures to safeguard its own interests."
Investors will now turn their attention to Friday’s highly anticipated U.S. jobs report for March. Analysts expect nonfarm payrolls to rise by 135,000, with the unemployment rate projected to remain steady at 4.1%.
