Stock Market Today: SPY, QQQ Stall as Trump Escalates Trade War with Canada; Bessent Targets Iran's Economy

Both the S&P 500 ETF (SPY) and the Nasdaq 100 ETF (QQQ) closed in the red on Monday. SPY fell 0.29%, while QQQ finished with a 1.00% loss.

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News That Moved the Stock Market Today

• The indexes came under pressure after U.S. and Canada trade talks fell apart. That led to President Trump announcing a 50% tariff on imports of Canadian vehicles, automotive parts, and steel, effective January 1, 2027. On Saturday, U.S. tariffs on $20 billion of Canadian goods, including wine, cement, and hockey sticks, went into effect.
• In a Truth Social post, Trump accused Canada of taking advantage of the benefits of a U.S. state without actually being one. In a separate post, he warned of greater consequences if the country doesn't "fall in line."
• Elsewhere, Treasury Secretary Scott Bessent said the U.S. would target Iran's "most vital lifelines," which are shipping, technology, gold, aviation, and digital assets. He also said that Trump had begun calling world leaders, telling them to cease "interactions" with Iran.
• AI stocks faced pressure ahead of Nvidia's (NVDA) earnings report on Wednesday. Micron (MU), AMD (AMD), and Intel (INTC) all closed with losses. Part of the weakness was attributed to Samsung (SSNLF), which plunged nearly 9% in the overnight Asian trading session.
• Jefferies analyst Joseph Gallo raised his CrowdStrike (CRWD) price target to $230 from $190. The cybersecurity giant will report its earnings on Wednesday as well.
• Temu owner Pinduoduo (PDD) closed lower after its second-quarter revenue of $16.6 billion fell short of estimates.