U.S. stocks are falling sharply Monday after President Donald Trump said tariffs he announced on Canada and Mexico will take effect on Tuesday. The bond market also took a hit following the latest warning signal on the strength of the U.

President Donald Trump downplayed a stock market selloff that began immediately after he announced 25% tariffs on Mexico and Canada. During an interview that aired Sunday on Fox News, host Maria Bartiromo asked Trump about his admission that there would be economic "disruption" because of his presidency.

In another reversal, Trump postponed for a month new tariffs on imports from Canada and Mexico that fall under the three nations' free trade deal.

Panic selling sent the Nasdaq Composite into correction territory, while the Dow and S&P 500 suffered notable losses.

U.S. stocks climbed after President Donald Trump pulled back on some of his tariffs, raising hopes he may avoid a worst-case trade war that grinds down economies and sends inflation higher.

Donald Trump made a sudden U-turn on tariffs on Thursday as the stock market tumbled amid fears over his punitive taxes on Mexico and Canada. The reversal came just as the markets dropped for the third day in a row—the result of Wall Street jitters that threaten to overshadow Trump’s efforts to bully America’s neighbors.

President Donald Trump said Thursday that his administration would not consider stock market reaction when hammering out the details of its tariff policy. When asked whether the decision to pause tariffs on many products from Canada and Mexico for one month was due to the stock market,