TWEETS HEX THE INDEXES

Trump tariff talk troubling

Tariff talk is once again spooking Wall Street.

The Dow Jones industrial average swung more than 600 points Thursday — plunging nearly 300 points in the afternoon following an early surge — after President Trump tweeted that he would slap a new round of tariffs on $300 billion worth of Chinese goods next month.

Trump griped that China backtracked on a pending deal and has so far failed to buy up large numbers of US agricultural products and halt the sale of fentanyl to the US.

“We thought we had a deal with China three months ago, but sadly, China decided to renegotiate the deal prior to signing,” the president tweeted.

“Additionally, my friend President Xi said that he would stop the sale of Fentanyl to the United States — this never happened, and many Americans continue to die!” Trump wrote.

Renewed tensions sent stocks tumbling, with major indexes swiftly turning red moments after Trump’s tweets. The S&P 500 and Nasdaq were down 0.9 percent and 0.8 percent, respectively while the Dow shed 280.85 points — or 1.1 percent — to close at 26,583.42.

While previous tariff rounds were felt more directly at the business level, this round would be felt in consumers’ pockets.

“The imposition of additional 10 percent tariffs on the remaining $300 billion imports from China would result in US consumers paying higher prices for everyday items such as electronics, clothing, footwear and toys,” Elena Duggar, associate managing director at Moody’s Investors Service, said Thursday.

Stocks tied to big retailers plunged in afternoon trades with shares of Macy’s, Kohl’s and Gap ending the day down more than 7 percent.

“We all agree China is a bad actor, but an unprecedented tax hike on hardworking Americans is not the answer,” said Jonathan Gold, spokesman for Tariffs Hurt the Heartland.

Meanwhile, oil prices plunged 7 percent — the sharpest drop since February 2015 — as traders panicked over weaker global growth. Shares of Exxon Mobil and Chevron tumbled 2.6 percent and 1.9 percent, respectively.

But Trump showed little sign of giving in even with US markets plunging.

“Until such time as there is a deal, we’ll be taxing them,” Trump told reporters Thursday.

Thursday’s sell-off followed a brutal trading day Wednesday after the Federal Reserve cut interest rates by a quarterpoint but hinted that the reduction was an adjustment and not part of a “lengthy cutting cycle.”

Trump slammed Fed Chairman Jerome Powell Wednesday for not delivering the steeper cut he has demanded for months.

“As usual, Powell let us down,” Trump tweeted Wednesday.