(NewsNation) — Although markets opened mixed on Wednesday, all three major indices were in the green later in the morning.
The Dow rose around 0.51%, the Nasdaq was up 1.52% and the S&P 500 was at 1.64% as of around 11:30 AM CDT.
The update follows four straight days of major losses, and, as of Wednesday morning, foreign markets were in the red.
The market volatility comes amid new, sweeping taxes on goods from other countries as part of President Donald Trump’s so-called “Liberation Day” tariffs. Roughly 60 countries were singled out for reciprocal tariffs, most of which are set at half the levies those countries have placed on U.S. goods.
Trump’s 104% tariffs were imposed on China on Wednesday. The East Asian country raised its retaliatory tariffs on the United States from 34% to 84%. In addition, the European Union approved retaliatory tariffs on $23 billion in goods in response to Trump’s 25% tariffs on imported steel and aluminum.
How markets are affecting people
Consumer spending will likely pull back in light of the tariffs and Wall Street’s response.
Jamie Dimon, CEO of JPMorgan Chase, and investor Bill Ackman, who has been an ally of Trump, expect consumers to start pulling their purse strings.
“So long as you have rates going up … inflation is sticky and credit spreads are gapping out, which they’re going to, I think you’ll see more credit problems,” Dimon said on Fox Business’ “Mornings with Maria.”
Businesses could also suffer, Ackman said on social media Wednesday.
“I am receiving an increasing number of emails and texts from small business people I do business with or have invested in, expressing fear that they will not be able to pass on their increased costs to their customers and will suffer severely negative consequences,” Ackman wrote.
The stock market is tied to 401(k)s and other retirement accounts, and while markets have historically bounced back, those hoping to retire in the near future may have to delay their plans.
Financial services company Empower has reported a 15 to 20% increase in users dipping into their retirement via hardship withdrawals.
The Associated Press and Reuters contributed to this report.
This story is developing. Refresh for updates.
