What level of tariffs will the U.S. impose on imports and when? Stock futures were falling early Monday as markets were roiled by threats of new levies but also confusion over the deadline for the proposed duties.
Dow Jones Industrial Average futures were down 148 points, or 0.3%. S&P 500 futures were falling 0.5% and Nasdaq 100 futures were dropping 0.6%.
Trump said “tariff letters and/or deals” will be delivered starting Monday and threatened an additional levy on countries aligned with the Brics group–which includes Brazil, Russia, India and China–in a post on Truth Social overnight.
“Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy,” Trump said.
What exactly might trigger such additional tariffs and when they will kick in is unclear. The administration has imposed a deadline of Wednesday for reaching deals but Treasury Secretary Scott Bessent indicated over the weekend that some countries would be able to negotiate a three-week extension.
“It is a question of whether last-minute deals are struck, whether tariffs are substantially increased or whether fresh extensions are announced. All seem possible,” wrote ING analyst Chris Turner in a research note. “Probably the most focus this week will be on the major trading blocs such as the EU and Asia, where most of the US trade imbalances stem from.”
Apart from tariff news, this week will feature the release of the minutes of the Federal Reserve’s latest policy decision on Wednesday. They will be watched for hints on future interest-rate moves after a better-than-expected U.S. nonfarm payrolls report for June prompted markets to trim bets for a rate cut in July.
The yield on the benchmark 10-year Treasury note stood at 4.343% early on Monday, ticking down from the previous week.