Wall Street experienced a downturn, resulting in a weekly loss, due to renewed market uncertainty triggered by former President Donald Trump's proposal of 50% tariffs on European products. This proposal has escalated global trade tensions, leading to declines across major U.S. stock indexes.

The Dow Jones Industrial Average fell by 0.61%, closing at 41,603.07, while the S&P 500 decreased by 0.67% to 5,802.82, and the Nasdaq Composite dropped by 1.00% to 18,737.21. For the week, the Dow lost 2.47%, the S&P 500 fell 2.61%, and the Nasdaq shed 2.48%.

Technology and communication services sectors were among the biggest losers within the S&P 500. Apple's stock, in particular, faced downward pressure after Trump warned of potential 25% tariffs on iPhones sold to U.S. customers but not manufactured domestically. Treasury yields also eased, with the benchmark U.S. 10-year note falling 4.4 basis points to 4.509%.

James St. Aubin, chief investment officer at Ocean Park Asset Management, noted that the markets had hoped the worst of the tariff rhetoric was behind them but that the situation with the EU and Apple indicates ongoing concerns.

U.S. Treasury Secretary Scott Bessent stated that Trump found the EU's trade offers inadequate and hoped the threat of new tariffs would stimulate more productive negotiations. Most megacap and growth stocks, including Amazon, Nvidia, and Meta Platforms, experienced declines exceeding 1%, while Tesla ended down 0.5%.

The CBOE Volatility Index, a key measure of market fear, hit a more than two-week high, increasing by 10%. Semiconductor stocks also dropped, declining by 1.5%. Deckers Outdoor, the maker of UGG boots, saw its stock slump nearly 20% after forecasting lower-than-expected first-quarter net sales and citing tariff-related macroeconomic uncertainty as the reason for not providing annual targets. Sportswear maker Nike also experienced a decline, dropping by 2.1%.

Trading volume on U.S. exchanges reached 17.67 billion shares, slightly below the 20-day full session average of 17.73 billion shares.