Markets Right Now: Trump's Mexico tariffs sink stocks

NEW YORK — The latest on developments in financial markets (all times local):

4:00 p.m.

Stocks are closing lower on Wall Street after President Donald Trump surprised investors with tariffs on Mexican imports.

Bond yields also continued their plunge as investors scrambled into safer investments amid worries that the trade war's multiplying fronts will hurt economic growth and corporate profits. The yield on the 10-year Treasury sank to 2.13% and touched its lowest level since the summer of 2017.

Stocks of auto makers and railroad operators, which could be especially vulnerable to business disruptions from the tariffs, were some of the biggest losers. General Motors fell 4.3%, and Kansas City Southern lost 4.5%.

The Dow Jones Industrial Average lost 354 points, or 1.4%, to 24,815.

The S&P 500 index fell 36 points, or 1.3%, to 2,752, and the Nasdaq lost 114 points, or 1.5%, to 7,453.

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11:55 a.m.

Stocks are still down sharply in midday trading on Wall Street after President Donald Trump surprised investors with tariffs on Mexican imports, but they've pared their losses since the morning.

Bond yields also continued their plunge as investors scrambled into safer investments amid worries that the trade war's multiplying fronts will hurt economic growth and corporate profits. The yield on the 10-year Treasury sank to 2.16% and touched its lowest level since the summer of 2017.

Stocks of auto makers and railroad operators, which could be especially vulnerable to business disruptions from the tariffs, were some of the biggest losers. General Motors fell 4.4%, and Kansas City Southern lost 5.7%.

The Dow Jones Industrial Average lost 230 points, or 0.9%, to 24,939. It had earlier been down as much as 1.3%.

The S&P 500 index fell 24 points, or 0.9%, to 2,764, and the Nasdaq lost 72, or 1%, to 4,495.

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9:35 a.m.

Stocks are falling sharply on Wall Street after President Donald Trump surprised investors with tariffs on Mexican imports.

Carmakers, which could be especially vulnerable to business disruptions from the tariffs, took big losses in early trading Friday.

General Motors sank 3.9% and Ford lost 2.8%.

Kansas City Southern, a railroad operator that has a commercial corridor of the Mexican railroad system, fell 5.9%.

Trump said the tariff will start June 10 and will continue to rise until that country does more to stop migrants from approaching the U.S. border.

The Dow Jones Industrial Average lost 310 points, or 1.2%, to 24,862.

The S&P 500 index fell 36 points, or 1.3%, to 2,752 and the Nasdaq fell 105 points, or 1.4%, to 7,462.

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