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Global stocks are slumping Thursday after President Donald Trump imposed sweeping reciprocal tariffs on U.S. trading partners that were worse that investors expected and raised fears of a growing trade war.

U.S. stock futures are dropping, with Dow Jones Industrial Average futures tumbling more than 1,000 points. Investors are seeking haven trades such as Treasurys, with the 10-year yield falling to 4.05%. The Stoxx Europe 600 index is down 1.7%, while Japan's Nikkei and Hong Kong's Hang Seng closed down 2.8% and 1.5%, respectively.

Also tumbling in premarket trading are Magnificent Seven stocks, led by a 7% plunge for Apple ( AAPL ), which Citi estimates makes more than 90% of its products in China, which faces 54% cumulative import tariffs. Shares of the rest—Microsoft ( MSFT ), Nvidia ( NVDA ), Alphabet ( GOOGL ), Amazon ( AMZN ), Meta ( META ), and Tesla ( TSLA )—all fell at least 2%.

"The tariff announcement was worse than most investors expected ," BNP Paribas Asset Management Chief Market Strategist Daniel Morris wrote in a note Thursday. "The key question now will be whether there is scope for negotiation on the reciprocal tariffs."

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