Dow closes down 345 points amid tariff fallout
It was another erratic day on Wall Street on Monday, with the Dow closing down 345 points.
President Trump said there would be no pause on planned tariffs, and threatened an additional 50% tariff if China does not step back from its 34% tariff on all imported U.S. goods.
The last time we saw stock market declines this steep was at the beginning of the COVID-19 pandemic in 2020.
RELATED: Are Trump's tariffs negotiable or here to stay? Amid confusion, he says can be both.
In the first week of the pandemic, the S&P 500 dropped about 12.5%, with several single-day declines of 5% or more. It took until June for stocks to recover.
Last Thursday, the S&P dropped nearly 5%, and on Friday, it dropped another 6%.
Finance professor Eli Fich from Drexel University says it's difficult to predict what the coming weeks will look like.
"Much of that uncertainty stems from the unclear future of the new tariffs," said Fich. "Whether they are permanent or simply a bargaining chip in trade negotiations, many believe they could still be rolled back, softened or eliminated."
In terms of the housing market - there's still a lot of uncertainty there as well.
SEE ALSO: Dow closes 349 points lower after roller coaster trading amid tariff fallout
And Jared Kowalik says buying a home is typically an emotional decision.
"With the stock market being really volatile right now, we see a lot of people hesitant to make a move," said Kowalik with the Nancy Kowalik Real Estate Group in Mullica Hill.
He says they're watching the market, but many are watching to see if the Federal Reserve will make a move.
"Everybody is waiting for interest rates to drop," said Kowalik. "If interest rates drop in relation to the government trying to encourage more investing and more spending, we're going to see a lot more buyers enter the market, which is just going to drive up demand."
