04:51 PM EDT, 04/08/2025 (MT Newswires) -- US benchmark equity indexes declined on Tuesday as a morning rally fizzled amid news surfacing that the Trump administration would proceed with additional 50% tariffs on China.

The Nasdaq Composite declined 2.2% to 15,267.9. The S&P 500 slid 1.6% to 4,982.8, while the Dow Jones Industrial Average fell 0.8% to 37,645.6. All sectors posted losses Tuesday, led by materials.

The Nasdaq rose 0.1% on Monday. The Dow and the S&P 500 closed lower in the prior trading session, though the declines were less than those seen late last week.

The Trump administration is moving forward with additional 50% tariffs on China that would bring the total rate of levies on the Asian country to 104%, a White House official told CNBC. The new rate goes into effect at 12:01 am ET Wednesday.

Last week, the Trump administration announced broad-scale tariffs on US imports, including from China, which responded with its own retaliatory duties. China's commerce ministry reportedly said Tuesday that Beijing will "fight to the end" if the US imposes the additional 50% tariffs threatened by US President Donald Trump on Monday.

Trump said Tuesday he had "a great call" with the acting president of South Korea, which wants to strike a deal with the US, along with many other countries.

"China also wants to make a deal, badly, but they don't know how to get it started," Trump said in a social media post. "We are waiting for their call. It will happen!"

US Treasury yields were higher Tuesday, with the 10-year rate rising 13.4 basis points to 4.29% and the two-year rate gaining 1.6 basis points to 3.75%.

In economic news, small business optimism in the US deteriorated more than expected in March as owners scaled back expectations on sales growth, according to a survey by the National Federation of Independent Business.

"The implementation of new policy priorities has heightened the level of uncertainty among small business owners over the past few months," said NFIB Chief Economist Bill Dunkelberg. "Small business owners have scaled back expectations on sales growth as they better understand how these rearrangements might impact them."

West Texas Intermediate crude oil slid 3.7% to $58.46 a barrel Tuesday, closing below the $60 mark for the first time since February 2021.

In company news, the European Union will soon issue decisions on whether Apple ( AAPL ) and Meta Platforms ( META ) failed to comply with tech competition rules, media outlets reported, citing antitrust chief Teresa Ribera. Apple ( AAPL ) shares dropped 5%, the steepest decline on the Dow, while Meta fell 1.1%.

Humana (HUM) shares jumped 11%, the best performer on the S&P 500, followed by CVS Health ( CVS ) and UnitedHealth Group ( UNH ) at 5.9% and 5.4%, respectively. The US Centers for Medicare and Medicaid Services said late Monday it will increase payment rates for Medicare insurers next year.

Separately, CVS on Tuesday announced a new chief financial officer and said it is on track to meet or surpass its 2025 outlook.

Gold rose 0.6% to $2,991.90 per troy ounce, while silver added 0.3% to $29.68 per ounce.