US retail and luxury stocks fall after new Trump tariffs

Shares of major U.S. retailers are down premarket after U.S. President Donald Trump imposes a raft of new reciprocal tariffs on Asian production hubs

He has targeted Vietnam with a 46% tariff rate, Cambodia with 49%, Bangladesh with 37% and Indonesia with 32% while China is now currently facing 54% tariffs on exports to the U.S.

Analysts expect this to result in rising costs of production for retailers at a time when consumers are becoming cautious on spending due to rising uncertainty on tariffs in the U.S.

Shares of retail giant Walmart WMT.N down 5%, big-box retailer Target TGT.N falls 4.9% and e-commerce giant Amazon.com AMZN.O down 5.9% premarket

Electronics retailer Best Buy BBY.N down 6.3% premarket and membership-only retail chain Costco COST.O falls 3.3%

Discount stores Dollar Tree DLTR.O and Dollar General DG.N fall 11% and 5%, respectively

Apparel makers PVH Corp PVH.N down 4.2%, American Eagle Outfitters AEO.N falls 5.5% and Gap GAP.N slips 10%

Luxury firms Ralph Lauren RL.N down 8%, Tapestry TPR.N falls 7.5% and Capri Holdings CPRI.N down 5.3% premarket

Up to last close, S&P 500 Consumer Discretionary Distribution & Retail Index .SPXRT had fallen over 7%