Stock Market Today: Dow Crashes 500 Points on Trump Tariff Ruling, Nvidia and Palantir Slide

The U.S. stock market dropped sharply Tuesday morning. The Dow Jones Industrial Average fell more than 500 points. This came after a court ruling against Trump-era tariffs.

Tech stocks also took a hit. Nvidia and Palantir both posted early losses. Wall Street reacted fast to the breaking legal news.

Markets React to Tariff Ruling and Tech Stock Losses

A federal appeals court ruled most Trump tariffs were illegal. The court said Trump exceeded his powers. The duties will stay for now but could end by October 14.

This news sent markets into a tailspin. The Dow lost over 1.2%. The S&P 500 dropped 1.2% too. The Nasdaq fell 1.2%, weighed down by tech losses.

Nvidia sank 2.5% before the market opened. Palantir dropped 4%. Both are testing key technical levels. Investors are watching their 50-day moving averages.

Oil prices rose. WTI crude traded at $64.80 per barrel. The 10-year Treasury yield also rose to 4.27%.

Broader Market Impact and Economic Outlook

Other indexes followed the Dow’s lead. The Russell 2000 fell 1.1%. ETFs like SPY and QQQ both dropped sharply.

PepsiCo gained 3% after a major investment by Elliott Management. Biogen also moved higher. But Shopify and AppLovin both fell over 3%.

Earnings from Nio and Academy Sports added pressure. Academy missed estimates and fell over 4%. Nio reported weak revenue but beat on its loss forecast.

Markets also await key economic data. The ISM Manufacturing Index and PMI reports are due this morning. Investors are watching for signs of growth or slowdown.

Broadcom and Salesforce are expected to report earnings later this week. The big event will be Friday’s jobs report. A higher unemployment rate could fuel rate-cut expectations.

Stocks are on edge. Tariffs, tech, and jobs are all moving parts. The market remains volatile. Stay alert.

FYI (keeping you in the loop)-

Q1: Why did the Dow drop 500 points today?

A federal court ruled most Trump tariffs illegal. This spooked investors and triggered a selloff.

Q2: Which stocks were hit hardest today?

Nvidia and Palantir were among the biggest losers. Nvidia fell 2.5%, and Palantir dropped 4%.

Q3: Are the Trump tariffs ending immediately?

No, the duties remain for now. The court gave the White House until October 14 to appeal.

Q4: What other data is moving the market this week?

Investors are watching economic reports like the ISM Index and jobs report. These could impact interest rate policy.

Q5: Did any stocks gain today?

Yes, PepsiCo rose 3% after Elliott Management invested $4 billion in the company.