Stocks fell on Thursday, resuming a deep sell-off this week, after President Donald Trump said China "broke the deal" at a rally Wednesday evening, fueling worries the U.S. and China will be unable to hatch a trade agreement before new tariffs go into effect at midnight.
The Dow Jones Industrial Average fell about 350 points on Thursday, while the S&P 500 dropped 1% and the Nasdaq Composite lost 1.1%. The Dow is down more than 700 points and the S&P 500 has lost more than 3% this week after Trump threatened to raise tariffs on more Chinese goods over the weekend. Major averages are now on pace for their worst week of 2019.
Small-cap stocks fell into correction levels on Thursday, with the Russell 2000 benchmark dropping more than 10% below their intraday all-time high. The group is the most sensitive to fluctuations in the economy and market sentiment because of their small size.