Market Reacts to China's Retaliatory Tariffs

Intel Corporation's stock experienced a significant drop, falling as much as 7% in premarket trading this Friday. This downturn comes in the wake of China's announcement of a 34% retaliatory tariff on all US goods, set to take effect on April 10. The tariffs are a direct response to recent measures by US President Donald Trump targeting Chinese imports.

Sector-Wide Impact Felt

The semiconductor sector was among the hardest hit, with notable declines in shares of Nvidia and Apple, each down by approximately 4%, and Broadcom seeing a 6% drop. Analysts predict that these tariffs will not only increase operational costs for US chipmakers but also disrupt existing supply chains, potentially squeezing profit margins in the near term.

At 6:59 am ET, Intel's shares were trading at $21.05 in premarket in New York, marking a 6.29% decrease from the previous close.