US markets: S&P 500, Nasdaq Composite fall 4 percent; CBOE Volatility Index rises

Earlier today, European stock markets also closed lower. The Stoxx 600 index closed down 5%. This is its worst weekly-loss of the year. The U.K.’s FTSE 100 closed around 5% lower while Germany’s DAX fell 4.7%, and France’s CAC 40 was trading 4.3% lower at close.

US markets continued to see selling pressures during mid-day trades on April 4 as the Dow Jones Industrial Average was trading more than 1,900 points lower, or 5%. The S&P 500 and Nasdaq Composite were are also trading 4% lower. At around 1:34 pm EST ( 11:05 pm IST), the CBOE Volatility Index (VIX) was at 41.49, nearly 38 percent higher. At Intraday it reached around 45.56, the highest intraday level since August 5, 2024.

US markets continued to see selling on the back of China's announcements of retaliatory tariffs. The Chinese government announced 34 percent tariffs on US goods which will come into effect from April 10.

Earlier today, European stock markets also closed lower. The Stoxx 600 index closed down 5%. This is its worst weekly-loss of the year. The U.K.’s FTSE 100 closed around 5% lower while Germany’s DAX fell 4.7%, and France’s CAC 40 was trading 4.3% lower.

In a speech earlier during the day, Federal Reserve Chair Jerome Powell said that they would wait and see the impact of the tariffs before announcing any rate changes. He added, “Our obligation is to keep longer-term inflation expectations well anchored and to make certain that a one-time increase in the price level does not become an ongoing inflation problem. In response, President Donald Trump called on Federal Reserve Chair Jerome Powell to slash interest rates.

The top gainers in the S&P 500 were DR Horton, NVR, Dollar Tree and Pultegroup Inc. Amongst losers were APA Corp, GE Healthcare and Micron Technology.  In the Nasdaq, gainers included Lululemon Athletica, Microstrategy and Ross Stores. Losers included Applovin Corp, GE Healthcare and Grail. In the Dow Jones, Intel, Dow Inc, Boeing
Nvidia and Travelers Companies were among the top losers.