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US STOCKS-Stocks fall, adding to biggest selloff in months on economic fears
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US STOCKS-Stocks fall, adding to biggest selloff in months on economic fears
Mar 11, 2025 2:17 PM

*

US job openings rise to 7.74 million in January

*

Kohl's slides on bleak annual sales forecast

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Airlines weigh on Dow transports

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Indexes down: Dow 1.14%, S&P 0.76%, Nasdaq 0.18%

(Adds prices, trading volume)

By Chuck Mikolajczak

NEW YORK, March 11 (Reuters) - U.S. stocks fell on

Tuesday, adding to the biggest selloff in months, as investors

worried about the impact of the latest tariff threats on the

global economy.

Trading was volatile, following conflicting tariff updates,

while progress toward a ceasefire between Ukraine and Russia

briefly lifted equities.

The S&P 500 index dropped as low as 5,528.41 points,

briefly marking a 10% fall from its record closing high of

6,144.15 on February 19, which is commonly known as a market

correction. President Donald Trump said he would double tariffs

set to take effect within hours on all imported Canadian steel

and aluminum products to 50%.

The latest tariff threat added to investor unease that

Trump's trade policies, which include tariffs against Canada,

Mexico and China, could trigger an economic slowdown or cause a

recession.

On Monday, the S&P 500 recorded its most significant one-day

drop since December 18, wiping out just over $1.3 trillion in

market value, and a staggering $4 trillion from its recent peak.

The tech-heavy Nasdaq confirmed a 10% correction late last week.

The benchmark S&P index is down more than 3.4% over the past

two sessions, its largest drop since early August.

"That creates just angst and nervousness in the market, so

you're going to continue to get the 'shoot first, ask questions

later' type of reaction, which is exactly what you're getting,"

said Ken Polcari, chief market strategist at SlateStone Wealth

in Jupiter, Florida.

Stocks gained some traction after the U.S. agreed to resume

military aid and intelligence sharing with Ukraine immediately

after talks in Saudi Arabia in which Kyiv voiced readiness to

accept a U.S. proposal for a 30-day ceasefire in its conflict

with Russia, the countries said in a joint statement.

Adding to the positive momentum, Ontario's premier said he

had agreed to suspend the Canadian province's 25% surcharge on

exports of electricity to Michigan, New York and Minnesota.

"The market's looking for something to get hopeful about

after the last week or so, but we always say it's hard to make

changes based on something that might happen," said Chris

Fasciano, chief market strategist at Commonwealth Financial

Network in Waltham, Massachusetts.

"So until you see an idea, whether it's Russia, Ukraine, or

whether you see what tariffs are finally going to be or what

government spending is finally going to be, it's hard to make

wholesale changes in portfolios."

The Dow Jones Industrial Average fell 478.23 points,

or 1.14%, to 41,433.48, the S&P 500 lost 42.49 points, or

0.76%, to 5,572.07 and the Nasdaq Composite lost 32.23

points, or 0.18%, to 17,436.10.

Global markets have been upended since Trump sparked

back-and-forth tariff moves against major trading partners while

recent economic data has indicated the economy may be softening.

A reading on consumer prices on Wednesday will show if progress

is being made on tamping down inflation.

Meanwhile, a U.S. Labor Department report showed job

openings increased in January.

Each of the 11 major S&P sectors was lower, although

technology and consumer discretionary

sectors, the two worst performing sectors on the year, saw the

smallest declines.

Tariff uncertainty has also weighed on consumer sentiment,

with company executives increasingly flagging the impact it can

have on upcoming earnings.

Kohl's forecast a bigger-than-expected drop in

annual comparable sales, sending the retailer's shares

plummeting 24.1%.

Dick's Sporting Goods dropped 5.7% after the

retailer forecast downbeat annual results.

Delta Air Lines ( DAL ) stumbled 7.3% after the carrier

slashed its first-quarter profit estimates by half.

American Airlines ( AAL ) slumped 8.3% after the carrier

forecast a bigger-than-expected first-quarter loss. Weakness in

the airlines helped send the Dow transportation index

down 3.1%.

Oracle lost 3.1% after the cloud company missed

quarterly revenue estimates.

Citi became the latest brokerage to revise its stance on

U.S. stocks, downgrading its recommendation to "neutral."

Declining issues outnumbered advancers for a 1.6-to-1 ratio

on the NYSE and by a 1.1-to-1 ratio on the Nasdaq.

The S&P 500 posted four new 52-week highs and 17 new lows,

while the Nasdaq Composite recorded 22 new highs and 352 new

lows.

Volume on U.S. exchanges was 19.01 billion shares, compared

with the 16.56 billion average for the full session over the

last 20 trading days.

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