Stocks fall on trade uncertainty, Federal Reserve concerns

The shares fell on Monday as investors watched the signs of progress in commercial talks, and after president Donald Trump continued to criticize the Federal Reserve Chairman Jerome Powell.

Dow Jones Industrial Malce 971.82 points, or 2.48 % decreased, while the S&P 500 and NASDAQ compound decreased by 2.36 % and 2.55 %, respectively.

Trump, in a publication on the social truth, attacked Powell and claimed that energy costs and food prices are “largely less” and that there is “almost inflation.”

“With these costs go down well, just what I expected they would do, there could be almost no enlargement, but there can be a slowdown in the economy unless the master is late late, and a big loser, which reduces interest rates now,” Trump said.

The President’s comments come after he said in a social publication in fact last week that Powell is “always late and wrong” and that “ending Powell cannot come quickly enough.”

The “Seven Magnificent” shares were also traded, as Tesla decreased more than 5 % and NVIDIA by more than 4 %.

Powell’s ongoing attacks have increased concerns about the independence of the Federal Reserve Bank in developing a monetary policy path in the largest economy in the world, as the investor confidence in American assets has already struck through Trump’s sweeping tariffs.

These are the American industries that can revolve around China

Austan Golsby, head of the Federal Reserve in Chicago, said on Sunday in his appearance on CBS.He faced the nation with Margaret Brennan“The independence of central banks and monetary policy is very important.

“There is an actual consensus between the economists who have independently of criticism from political intervention, and that the Federal Reserve Bank or any central bank is able to do the task it needs is really important,” said Golsby.

“I strongly hope that we will not move ourselves to an environment in which criticism is independent, because that – would undermine the credibility of the Federal Reserve Bank,” he added.

The tariff fears continued to chase investors after China warned of deals concluded with the United States at the expense of Beijing. The FBI policymakers have also reported the expectations of the cloudy interest rate due to the uncertainty in the customs tariff.

President Donald Trump, left, and Chinese President Xi Jinping. (Getty Images / Getty Images)

Traders are now pricing about 90 basis points to alleviate the Federal Reserve this year, according to the data collected by LSEG.

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The uncertainty over trade and monetary policy has severely struck shares this year, as the S&P 500 index fell by more than 15 % of its record in February.

Eric Reville and Reuters contributed to Fox Business