Stocks sink as US-China trade war heats up, Trump threatens action
House Majority Leader Steve Scalise responds to Chuck Schumer’s shutdown comments, JD Vance’s viral post and the toll of the government standoff on families and workers.
A trade spat between the U.S. and China erupted Friday, sending U.S. stocks spiraling, with all three of the major averages closing sharply lower, registering the worst session since April.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 45479.6 | -878.82 | -1.90% |
| SP500 | S&P 500 | 6552.51 | -182.60 | -2.71% |
| I:COMP | NASDAQ COMPOSITE INDEX | 22204.429641 | -820.20 | -3.56% |
The Dow Jones Industrial Average fell nearly 900 points, while the Nasdaq fell 3.5% and the S&P 500 2.7%. Still, all three of the major benchmarks touched fresh record highs earlier this week.
The NYSE and Nasdaq will operate normal hours on Monday, the Columbus Day holiday, while the bond market will be closed.
Dow Jones Industrial Average
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Trump “pissed off” at China
Sources tell FOX Business’ Edward Lawrence that President Donald Trump is “pissed off” after a briefing about China’s new announcement of export controls. Now, a meeting between Trump and Chinese President Xi Jinping due to take place in South Korea in two weeks, is likely to be scrapped.
President Donald Trump announces a deal with Pfizer to lower Medicaid drug prices in the Oval Office of the White House Sept. 30, 2025. (Win McNamee/Getty Images / Getty Images)
“I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so,” he posted on Truth Social.
TRUMP THREATENS CHINA WITH TARIFF CLAPBACK
Trump also said he will be forced to financially counter the Chinese move. The source said large tariffs could be on the table.
Friday, after the close of trading, Trump laid out his plan in a Truth Social post.
“Based on the fact that China has taken this unprecedented position, and speaking only for the U.S.A., and not other Nations who were similarly threatened, starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying. Also on November 1st, we will impose Export Controls on any and all critical software” a portion of the post detailed.
A majority of the large sectors in the S&P fell, led by technology, energy and consumer discretionary, while utilities and consumer staples bucked the selling.
Broad selling hits most S&P sectors
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| XLK | TECHNOLOGY SELECT SECTOR SPDR ETF | 278.44 | -11.75 | -4.05% |
| XLE | ENERGY SELECT SECTOR SPDR ETF | 85.22 | -2.54 | -2.89% |
| XLY | CONSUMER DISCRETIONARY SELECT SECTOR SPDR ETF | 228.68 | -6.52 | -2.77% |
| XLU | UTILITIES SELECT SECTOR SPDR ETF | 90.20 | -0.37 | -0.41% |
| XLP | CONSUMER STAPLES SELECT SECTOR SPDR ETF | 78.13 | +0.09 | +0.11% |
The Magnificent Seven stocks saw…
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