02:06 PM EST, 03/04/2025 (MT Newswires) -- US benchmark equity indexes were lower intraday as Canada and China retaliated against the Trump administration's trade tariffs.

The Dow Jones Industrial Average was down 1.3% at 42,658 after midday Tuesday, while the S&P 500 fell 0.9% to 5,795.5. The Nasdaq Composite lost 0.3% to 18,305.4. Barring technology, all sectors were in the red, led by financials.

President Donald Trump's recently announced 25% tariffs against Canada and Mexico went into effect Tuesday, while the US government doubled its levy on Chinese imports to 20%.

China and Canada responded with retaliatory tariffs on US goods, with Beijing announcing 15% tariffs on chicken, wheat, corn, and cotton imports and a 10% levy on certain other products, according to media reports. Canada reportedly vowed to implement a 25% tariff on CA$30 billion ($20.65 billion) worth of US goods immediately, followed by an additional CA$125 billion in three weeks' time.

Mexico's response is expected Sunday, media outlets reported, citing President Claudia Sheinbaum.

"The latest moves are expected to create ripples in the relationship with (America's) largest trading partners and, at least in the near term, potentially result in some supply chain disturbances and/or add additional price pressures, with roughly $1.5 trillion in goods potentially impacted," Stifel said in a Tuesday note.

US Treasury yields were mixed intraday, with the two-year rate dropping 4.1 basis points to 3.93% and the 10-year rate gaining two basis points to 4.2%.

In company news, Best Buy ( BBY ) flagged potential price increases amid tariff uncertainties and issued a full-year earnings outlook that fell short of Wall Street estimates at the midpoint. The electronics retailer's shares slumped 12%, the worst performer on the S&P 500.

Target ( TGT ) shares fell 3.4% after the retailer said it expected uncertainties related to consumer spending and tariffs to weigh on its profit in the ongoing three-month period.

Walgreens Boots Alliance ( WBA ) is nearing a deal with private-equity firm Sycamore Partners to take itself private for approximately $10 billion, The Wall Street Journal reported late Monday, citing unnamed sources. Walgreens shares were up 7.4% intraday Tuesday, among the top S&P 500 gainers.

West Texas Intermediate crude oil fell 0.4% to $68.07 a barrel.

Gold was up 0.7% at $2,920.50 per troy ounce, while silver gained 0.3% to $32.41 per ounce.