The Dow Jones Industrial Average climbed while the S&P 500 and Nasdaq composite fell Monday, after President Donald Trump threatened higher tariffs on Canada following the collapse of trade talks. Steel stocks jumped on the prospect of tougher import duties, even as Caterpillar and Boeing dragged on the Dow.
Dow diverges from broader market
The Dow industrials remained up more than 100 points, or 0.2%, even as other major indexes slipped. Insurer Travelers, Walt Disney and Visa each gained more than 2% within the index. But Nvidia, Caterpillar and Boeing lagged, each dropping more than 2%.
Elsewhere, the S&P 500 lost 0.2%, with consumer staples and communication services leading while energy and technology lagged. The Nasdaq composite stayed down 0.5% amid a tech selloff that hit chipmakers Sandisk and Micron Technology.
Trump escalates tariff threat on Canada
Fallout from the collapse of U.S.-Canada trade negotiations dominated the weekend. Trump wrote on Truth Social that Canada had been "ripping off the United States of America for years", and said tariffs on cars, trucks, automotive parts and steel would rise to 50% starting Jan. 1.
According to Canadian Prime Minister Mark Carney, talks broke down after U.S. negotiators added fresh demands at the last minute, reportedly including a U.S. veto over any trade agreements Canada strikes with other countries. That prompted Canadian leaders to abandon the deal over sovereignty concerns.
Steel stocks rally on tariff prospects
Steel plays made solid gains as bigger tariffs on Canadian metal imports loomed. Nucor stayed up around 2%, reclaiming its 50-day moving average, though shares remain more than 8% below their prior cup-base entry after last week's 9.4% decline. Steel Dynamics rose nearly 2%, and Cleveland-Cliffs jumped more than 4% to clear its 200-day line, while Worthington Steel reversed lower, falling more than 1%.
Beyond equities, West Texas Intermediate crude skidded 2% to around $85.30 a barrel, the 10-year Treasury yield dived five basis points to 4.69%, and Bitcoin jumped 3% to roughly $79,600.
Source: Investor's Business Daily
Trading involves risk.
Risk Disclaimer
