Dow futures drop after Trump announces tariffs on Mexico


Dow futures tumbled 200 points, or 0.9 percent, on Thursday night after President Trump announced the U.S. will impose a 5 percent tariff on Mexican imports beginning June 10.
S&P 500 futures dropped 0.8 percent, while Nasdaq futures plummeted 0.9 percent and the Mexican peso fell 2 percent against the U.S. dollar, CNN reports. Mexico is among the United States' biggest trading partners, and the U.S. Chamber of Commerce estimates at least six million jobs are tied to trade with Mexico.
Trump said the tariffs will be in place until "such time as illegal migrants coming through Mexico, and into our Country, STOP." The White House later released a statement saying the tariffs would increase by 5 percent in July, August, September, and October. After Oct. 1, the White House said, "tariffs will permanently remain at the 25 percent level unless and until Mexico substantially stops the illegal inflow of aliens coming through its territory."
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Catherine Garcia has worked as a senior writer at The Week since 2014. Her writing and reporting have appeared in Entertainment Weekly, The New York Times, Wirecutter, NBC News and "The Book of Jezebel," among others. She's a graduate of the University of Redlands and the Columbia University Graduate School of Journalism.
-
5 vengefully funny cartoons about punishing Trump's political enemies
Cartoons Artists take on vengeance in a shutdown, the hounds of Pam Bondi, and more
-
Political cartoons for October 18
Cartoons Saturday's editorial cartoons include conversion therapy, Russ Vought, and more
-
President Trump: ‘waging war’ on Chicago
Talking Point Federal agents are carrying out ‘increasingly aggressive’ immigration raids – but have sanctuary cities like Chicago brought it on themselves?
-
China’s rare earth controls
The Explainer Beijing has shocked Washington with export restrictions on minerals used in most electronics
-
Gold tops $4K per ounce, signaling financial unease
Speed Read Investors are worried about President Donald Trump’s trade war
-
Electronic Arts to go private in record $55B deal
speed read The video game giant is behind ‘The Sims’ and ‘Madden NFL’
-
Fed cuts interest rates a quarter point
Speed Read ‘The cut suggests a broader shift toward concern about cracks forming in the job market’
-
Why are global postal services cutting off package delivery to the US?
Today's Big Question 'Uncertainty' around new tariff rules halts small-dollar imports
-
New York court tosses Trump's $500M fraud fine
Speed Read A divided appeals court threw out a hefty penalty against President Trump for fraudulently inflating his wealth
-
Trump said to seek government stake in Intel
Speed Read The president and Intel CEO Lip-Bu Tan reportedly discussed the proposal at a recent meeting
-
Switzerland could experience unique economic problems from Trump's tariffs
In the Spotlight The current US tariff rate on Switzerland is among the highest in the world