The stock market rally that accompanied the start of President Donald Trump's second term has taken an abrupt turn amid the president's ever-changing tariff policy and refusal to rule out a recession. The so-called "Trump bump" is now a "Trump slump."
In the worst day for the markets since September 2022, Monday's close saw the S&P 500 drop 2.7%, the Dow Jones Industrial Average down 2.08%, and the Nasdaq composite falter 4%. At Tuesday's market open, markets slipped further. It's a far way from the elation that followed news of his election at the end of 2024 and into 2025. In fact, all three major indexes have wiped out any gains made since Trump's election in November.
