Dow Jones falls to lowest levels in 3 months amid renewed recession fears

U.S. stock indices declined in the first session of the week, under pressure from selling in the technology sector, amid uncertainty surrounding trade policies and growing concerns about an economic recession, a scenario that President Donald Trump has not ruled out.

The Dow Jones Industrial Average dropped 2.1%, or 890 points, to 41,911 points, the deepest fall since Dec. 18, 2024 (1,123 points).

Similarly, the S&P 500 Index dropped 2.7%, or 155 points, to 5,614 points. The Nasdaq Composite plunged around 4%, or 727 points, to 17,468 points, the lowest level since Sept. 11, 2024.

As for the European indices, the STOXX Europe 600 declined 1.3% to 546.2 points, affected by a 3.1% drop in technology stocks.

The FTSE 100 inched down 0.9% to 8,600 points. The French CAC 40 fell by nearly the same percentage to 8,047 points, while the German DAX 40 shed 1.7% to 22,620 points.

In Japan, the Nikkei 225 added 0.4% to 37,028 points, while the broader TOPIX index gained 0.3% to 2,700 points.

On oil, Brent crude futures for May delivery decreased by 1.55%, or $1.08, to $69.28 a barrel at the close.

Meanwhile, US WTI crude futures for April delivery retreated by 1.5%, or $1.01, to $66.03 a barrel.

As for gold, April futures contracts edged down 0.5%, or $14.5, to $2,899.4 per ounce.

In an interview, Trump responded to a question about the possibility of a recession by saying the economy is going through a transitional period, adding, "What I have to do is build a strong country. You can't really watch the stock market.”