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The stock market's initial response to these tariffs has not been positive. Although the tariffs were announced after markets had closed, futures such as the S&P 500 indicated a decline of 3.6%. While this number represents a downturn, it's essential to realize that the market had already been adjusting its expectations since news of potential tariffs began circulating in November. Over recent months, the S&P 500 had been steadily declining due to tariff-related apprehensions.
Investor concern primarily stems from the tariffs being more significant than anticipated, leading to hesitance in the market. What this signal indicates about the near future of the financial landscape remains uncertain.