Major U.S. and European stock markets fell sharply on Monday, February 23, 2026, as investors reacted to renewed trade uncertainty following President Donald Trump’s weekend announcement of a fresh 15% global tariff on all U.S. imports.

 

Stock markets stumble as global trade faces more Trump tariff uncertainty

Major U.S. and European stock markets fell sharply on Monday, February 23, 2026, as investors reacted to renewed trade uncertainty following President Donald Trump’s weekend announcement of a fresh 15% global tariff on all U.S. imports. This move, characterized as a "temporary" measure lasting up to 150 days, came in defiance of a recent Supreme Court ruling that had struck down the administration's prior "reciprocal" tariff policy.

The Dow Jones Industrial Average suffered its worst day in a month, plunging 821.91 points (1.7%) to close at 48,804.06. The S&P 500 slid 1.04% to 6,837.75, effectively erasing its remaining gains for 2026, while the Nasdaq Composite declined 1.13% to 22,627.27.

Dow Jones Industrial Average

48.804,06        -821,91            

1,66%

S&P 500

6.837,75           -71,76

1,04%

Nasdaq Composite

22.627,27        -258,79            

1,13%

DAX PERFORMANCE-INDEX

24.991,97        -268,72            

1,06%

 

Key Market Impacts

Sector Performance: Technology and software giants bore the brunt of the selloff due to a combination of tariff jitters and persistent fears of AI-driven industry disruption. IBM notably tumbled 13% following reports that new AI tools could modernize legacy codebases, threatening its core business.

Safe Havens: In response to the equity slump, investors moved into defensive assets. Gold prices surged to a record $3,155.20 per ounce, and U.S. Treasury yields fell as bond prices rose.

Global Reaction: European markets closed mostly lower, with Germany's DAX falling 1.06%. The European Parliament also suspended work on a pending EU-U.S. trade deal in response to the new levies. Japanese markets were closed on Monday for a public holiday.

Corporate Outlook: Analysts warned that the 15% blanket tariff could strain corporate profit margins and complicate supply chains just as earnings season begins for major financial institutions like JPMorgan Chase and BlackRock.

Latest Market Snapshots (Close of Trade Feb 23, 2026)

Index   Closing Level               Daily Change (%)

Dow Jones Industrial Average         48,804.06        -1.66%

S&P 500           6,837.75           -1.04%

Nasdaq Composite  22,627.27        -1.13%

DAX (Germany)           24,991.97        -1.06%

Gold (Spot)     $3,155.20        Record High