Major stock indexes fell on Tuesday as the trade war between the United States and China intensified, while oil prices and the U.S. dollar also eased.

The United States said 104% duties on imports from China will take effect shortly after midnight. The news drove up concerns about slowing growth and higher inflation that have pummelled stocks since last week.

Market Snapshot

The Dow Jones Industrial Average fell 320.01 points, or 0.84%, to 37,645.59, the S&P 500 fell 79.48 points, or 1.57%, to 4,982.77 and the Nasdaq Composite fell 335.35 points, or 2.15%, to 15,267.91. Alibaba, PDD Holdings Inc fell 6%.

Market Movers

NVIDIA fell 1.4% to $96.30 after paring earlier gains that boosted the price past $100. Semiconductors have been excluded so far from Trump's tariff plans but the main risk to Nvidia, the leading maker of artificial-intelligence chips, is whether it gets caught up in escalating tensions between the U.S. and China.

Broadcom rose 1.2% after the semiconductor and software company said its board authorized a new, $10 billion stock buyback program through the end of the year. The repurchase program "reflects the board's confidence in the strength of Broadcom's diversified semiconductor and infrastructure software product franchises," said Hock Tan, president and CEO, in a statement.

Shares of CVS Health, UnitedHealth, and Humana -- insurers that offer Medicare Advantage plans to seniors -- were rising after the federal government announced an estimated $25 billion increase in payments to the plans in 2026. The increase in payments from the government was higher than initially expected and accounts for higher projected costs in the program, the Centers for Medicare and Medicaid Services said Monday. CVS rose 5.9%, UnitedHealth rose 5.4% and was the best performer in the Dow Jones Industrial Average. Humana jumped 11%.

SUPER MICRO COMPUTER INC dropped 3.9% after closing up 11% Monday and ending the session as the best-performing stock in the S&P 500. Shares of the maker of artificial-intelligence servers now have risen 2.7% for the year but remain down 65% over the past 12 months.

Shares of electric-vehicle maker Tesla Motors dropped 4.9% after closing off 2.6% on Monday. Longtime Tesla bull Dan Ives at Wedbush lowered his price target on the stock to $315 a share, down from a Wall Street high of $550. Ives maintained a Buy rating but said CEO Elon Musk has created a crisis with the Tesla brand.

Musk lashed out at Trump's top trade adviser, Peter Navarro, on Tuesday after Navarro remarked that he was a car "assembler," using auto parts from around the world, rather than a manufacturer. Tesla stock has fallen more than 18% since markets closed on "Liberation Day," when the president announced higher-than-expected tariffs.

Marvell Technology fell 1.9% after the semiconductor company said it would be selling its automotive ethernet business to Infineon Technologies in an all-cash transaction valued at $2.5 billion. The business is expected to generate revenue of between $225 million and $250 million in fiscal 2026, Marvell said. The divestiture is expected to close within the year.

MicroStrategy fell 11%. Shares of the largest corporate holder of Bitcoin, which does business as Strategy, said in a regulatory filing Monday that its unrealized loss on digital assets for the first quarter was $5.91 billion, which it expects will result in a net loss in the period despite an income tax benefit of $1.69 billion. The stock fell 8.7% on Monday.

Market News

Apple Tumbles as Leavitt Says Trump Believes IPhones Can Be Built in US

Apple shares extended their losses and tumbled 5% on Tuesday after White House Press Secretary Karoline Leavitt said President Trump believes iPhones can be built in the U.S.

Over the past four trading sessions, Apple has lost 23% of its value and rescinded its crown as the most valuable U.S. company to Microsoft (MSFT).

Trump believes the U.S. has the workforce and resources needed to build the smartphones domestically, Leavitt said at her press briefing. Leavitt's comments came after U.S. Trade Representative Jamieson Greer said earlier in the day that Trump would not provide exemptions to his tariffs for individual products or companies.

In the 2018 trade war between the U.S. and China, Trump had granted an exception to Apple for its iPhones, which are largely manufactured out of China.

Crude Oil Adds to Four-Year Lows; Goldman Warns Oil Below $40 Possible in 'Extreme' Scenario

Crude oil futures surrendered early gains and fell for a fourth straight session on Tuesday, with WTI and Brent futures both hitting their lowest levels since April 2021, as President Trump's escalating trade war added to concerns about loss of energy demand.

The White House said the U.S. will impose a 104% tariff on China from 12:01 a.m. EDT on Wednesday, adding 50% more to tariffs after the Chinese government failed to lift its retaliatory tariffs on U.S. goods by a noon deadline on Tuesday set by Trump.

China's Commerce Ministry said the country would "fight to the end" and take more countermeasures against Trump's tariff threats, ratcheting up fears about an eventual contraction of the global economy.