U.S. Stocks Tumble On Recession Fears, Look Set To End Sharply Lower

(RTTNews) - U.S. stocks are down sharply in negative territory Monday afternoon, with those from technology sector suffering more pronounced losses, amid rising concerns about the outlook for economic growth and corporate earnings.

In a Fox News interview on Sunday, U.S. President Donald Trump declined to rule out the possibility of a recession following his tariff actions on Mexico, Canada and China.

"There is a period of transition, because what we're doing is very big. We're bringing wealth back to America," Trump told the "Sunday Morning Futures" program.

With a slew of crucial economic data due later in the week, the mood in the market is extremely cautious.

Reports on consumer and producer price inflation, as well as readings on consumer sentiment and inflation expectations, are due this week.

The major averages are all down deeply in negative territory. The Dow dropped to 41,871.80, losing 929.92 points or 2.17 percent. The S&P 500 declined 170.53 points or 2.96 percent, to 5,599.68, and the Nasdaq tumbled to 17,409.95, losing 786.27 or 4.32 percent.

Tesla is tanking more than 14 percent. Carnival is down 8 percent, Morgan Stanley is declining 7.6 percent, Wells Fargo is down 7.2 percent, and Goldman Sachs is down 5.7 percent.

American Airlines, Delta Airlines, Citigroup, Meta Platforms, Apple Inc., US Bancorp, Alphabet, Starbucks, Nvidia, JP Morgan, Bank of America, Boeing and American Express are down 4 to 6 percent.

Among the gainers, ResMed is up 3.6 percent, Biogen is rising 3 percent, Modena is advancing 2.75 percent, PepsiCo is up 2.5 percent, and Colgate-Palmolive is moving up 1.75 percent. Merck, Verizon, Exxon Mobil and Amgen are among the other notable gainers.

Asian stocks turned in a mixed performance on Monday amid lingering tariff worries, the threat of a U.S. recession and signs of deepening deflationary pressures in China.

European stocks closed on a weak note on Monday as rising economic uncertainty and tariff concerns rendered the mood bearish. Recent weak U.S. and Chinese economic data hurt as well.