U.S. stocks declined Monday amid rising uncertainty over President Donald Trump’s trade tariffs after last week’s record highs. By 9:32 a.m. ET, the Dow Jones fell 95 points (0.2%), the S&P 500 dropped 22 points (0.4%), and the Nasdaq slipped 95 points (0.5%).

With the pause on Trump’s reciprocal tariffs nearing expiration and only preliminary trade deals with the U.K., Vietnam, and China in place, markets remain cautious. Treasury Secretary Scott Bessent said, “We’ve had a lot of people change their tune in terms of negotiations. So my mailbox was full last night with a lot of new offers, a lot of new proposals… It’s going to be a busy couple of days.” The U.S. plans several trade announcements within 48 hours before a Wednesday deadline.

President Trump said tariff letters would be sent Monday outlining new rates, but confusion remains over their effective date, with reports suggesting August 1. Trump also indicated tariffs might reach “60% or 70%,” and that BRICS countries (Brazil, Russia, India, China, South Africa) will face extra levies over “anti-American practices.”

Investors will also watch Wednesday’s Federal Reserve minutes for guidance on interest rate outlooks. The Fed last month kept rates steady between 4.25% and 4.5%, emphasizing a “wait-and-see” approach due to tariff uncertainties.

Tesla (NASDAQ:TSLA) shares plunged after CEO Elon Musk announced plans to start a new political party, the “America Party.” Wedbush warned this “is exactly the opposite direction” Tesla shareholders want as the company faces sales declines and readies its autonomous vehicle pivot. Musk’s move comes amid a public feud with Trump over the “Big Beautiful Bill.”

Other movers include Kalvista Pharmaceuticals (NASDAQ:KALV), which surged on FDA approval of a new oral treatment for hereditary swelling; Geo Group (NYSE:GEO) and CoreCivic (NYSE:CXW), which rose after increased immigrant detention funding; and Stellantis (NYSE:STLA), which fell amid a recall query for 1.2 million Ram trucks.

Oil prices bounced back, with Brent crude up 1% to $68.97 per barrel and U.S. WTI rising 1.3% to $67.38, after OPEC+ announced a larger-than-expected 548,000 bpd output increase for August.

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