U.S. stocks plunged on Monday as relentless tariff wrangling and mounting anxieties from a possible federal government shutdown gave rise to fears that the U.S. economy could be careening into recession.

Market Snapshot

The Dow Jones Industrial Average fell 890.01 points, or 2.08%, to 41,911.71, the S&P 500 lost 155.64 points, or 2.70%, at 5,614.56 and the Nasdaq Composite dropped 727.90 points, or 4.00%, to 17,468.32. Palantir Technologies Inc. tumbled 10%.

Market Movers

Redfin Corp soared 68% to $9.77 after agreeing to be purchased by Rocket Cos. in a deal that values the real estate listing site at $1.75 billion. Rocket will acquire Redfin for $12.50 a share in the all-stock transaction. The deal is expected to close in the second or third quarter. Rocket fell 16%.

DoorDash, Inc. was down 0.1% after the online food-delivery company was added to the S&P 500. The stock had traded higher earlier in the session. It will join home goods company Williams-Sonoma, World Wrestling Entertainment owner TKO Group Holdings, and natural gas producer Expand Energy in the index. The changes announced Friday by S&P Dow Jones Indices will take effect before the start of trading on March 24.

Williams-Sonoma fell 1.7%, TKO Group Holdings fell 1.1%, and Expand Energy was up 3.2%. The four companies added to the S&P 500 will replace BorgWarner, Teleflex, Celanese, and FMC Corp.

NVIDIA fell 5.1% after closing Friday up 1.9%. Coming into Monday, shares of the leading maker of artificial-intelligence chips have dropped 16% in 2025. Worries over economic growth and uncertainties about Trump's trade policies overshadowed news that Nvidia provided support for the building of Foxconn's own large language model with reasoning capabilities.

Strategy fell 17%, Coinbase Global, Inc. fell 18%, and Robinhood Markets was down 20% as the crypto-linked stocks followed Bitcoin lower on disappointment over Trump's executive order to create a strategic Bitcoin reserve for the United States. The reserve will be capitalized using Bitcoin obtained through criminal and civil forfeiture proceedings, rather than government buying.

Robinhood, meanwhile, will pay nearly $30 million in restitution and fines for allegedly violating "numerous" rules, brokerage industry self-regulatory organization Finra said late Friday. Both Robinhood and Coinbase were seen as potential candidates for addition in the S&P 500, but didn't make the cut when changes to the index were announced last week.

AppLovin Corporation declined 12% on Monday to $238.08. Citi analyst Jason Bazinet noted that AppLovin shares have "come under significant pressure on the heels of a few bearish reports." But he maintained a Buy rating on the shares and a price target of $600.

U.S.-listed shares of Novo-Nordisk A/S fell 9.4% after data were positive on the company's experimental weight-loss drug, CagriSema, but missed the company's earlier expectations.

ServiceNow fell 7.8%. The automation-software company agreed to buy Moveworks, an artificial-intelligence start-up, for $2.85 billion.

Market News

Tesla Had Its Worst Day Since 2020 After Deliveries Expectations Were Slashed

Tesla Motors fell 15% in Monday afternoon trading as investors start to prepare for what could be a disappointing Q1 deliveries report in a few weeks. The decline stood as the largest since September 2020 when Tesla was not added to the S&P 500 Index as anticipated.

A steady stream of reports from Europe and China are being seen as an indication that the electric vehicle maker may miss the initial forecasts for Q1 deliveries of close to 415K. On Wall Street, UBS formalized those concerns on Monday by slashing its Q1 deliveries estimate to 367K. For reference, Tesla disclosed 495,570 deliveries for Q4 of 2024 and delivered 462,890 vehicles in Q3 of 2024.

Marjorie Taylor Greene Discloses Buys of CrowdStrike, Tesla, Others

A new congressional trading form filed by Congresswoman Marjorie Taylor Greene disclosed that she purchased positioned in companies across several sectors amid a recent sell-off in markets.

According to the form, the 50-year-old Congresswoman representing the 14th district in Georgia purchased stakes in cybersecurity CrowdStrike Holdings, Inc. on March 7 with the stake worth between $1,001 and $15,000.

She also purchased stakes in Dollar General, Goldman Sachs, Impinj, Tesla Motors and iShares Bitcoin Trust. The value of these stakes were also between $1,001 and $15,000 each.