American Express Plunges 3.48% Amid Tariff Fears

On April 3, 2025, American Express experienced a 3.48% drop in pre-market trading, reflecting investor concerns and market volatility.

The recent announcement of "reciprocal tariffs" by the Trump administration has sparked significant market reactions. The tariffs, set to take effect on April 5, aim to equalize U.S. tariff rates with those of other countries, potentially impacting global trade dynamics. This move has raised concerns about increased costs for American consumers and businesses, as well as potential retaliatory measures from trading partners.

American Express, as a global payments company, is particularly sensitive to changes in trade policies. The implementation of these tariffs could disrupt supply chains and increase operational costs, potentially affecting the company's financial performance. Additionally, the uncertainty surrounding the tariffs has led to market volatility, which can impact investor sentiment and stock prices.

Insider trading activity in the first quarter of 2025 also provides insights into market sentiment. American Express saw significant insider sales, with a total value of $44.32 million. This activity suggests that some insiders may be taking profits or diversifying their portfolios in response to market uncertainty. However, it is important to note that insider trading should be considered alongside other factors, such as the company's financial health and market conditions.