(CNBC) — Stocks fell on Tuesday, the first trading day of a historically tough month, after the world’s two largest economies began imposing new tariffs on each other’s goods. Weak manufacturing data also dented investor sentiment.
The Dow Jones Industrial Average closed 283 points lower, or 1.1%. The S&P 500 lost 0.7% while the Nasdaq Composite pulled back 1.1%.
Equities hit their session lows after the Institute for Supply Management said U.S. manufacturing activity contracted last month for the first time since early 2016. The Dow lost as much as 1.6%, or 425.06 points. The S&P 500 and Nasdaq briefly dropped 1.2% and 1.5%, respectively.
