On July 14, 2025, U.S. stock markets experienced a downturn, with the S&P 500 retreating from its recent all-time high. The Dow Jones Industrial Average fell 0.6%, or 279.13 points, closing at 44,371.51. The S&P 500 decreased by 0.3% to 6,259.75, and the Nasdaq Composite declined 0.2% to 20,585.53. The decline was primarily driven by President Trump's announcement of a 35% tariff on Canadian imports, raising concerns about escalating trade tensions. This move intensified fears of a potential trade war, leading to a sell-off in sectors sensitive to international trade, including financials, materials, technology, and communication services.
The technology sector was notably impacted, with major companies like Meta Platforms and Apple Inc. experiencing declines of 1.3% and 0.6%, respectively. The CBOE Volatility Index (VIX), often referred to as the market's fear gauge, rose by 3.93% to 16.40, indicating increased investor anxiety. Trading volume was lower than average, with 15.4 billion shares exchanged, compared to the 20-session average of 18.3 billion. Investors are now closely monitoring the situation, awaiting further developments in trade policies and their potential impact on the economy.