U.S. stock index futures fell Monday amid fears of an intensifying trade war after President Donald Trump slapped 30% tariffs on imports from Mexico and the European Union, after similar levies against Canada.

At 06:15 ET (10:15 GMT), Dow Jones Futures dropped 140 points, or 0.3%, S&P 500 Futures fell 19 points, or 0.3%, and Nasdaq 100 Futures slipped 65 points, or 0.3%.

The main Wall Street indices retreated last week, falling back from record levels, with the S&P 500, the NASDAQ Composite and the Dow Jones Industrial Average all snapping three-week winning streaks.

Trump imposes 30% tariffs on Mexico, EU 

Trump over the weekend released more letters outlining trade tariffs on major U.S. trading partners, this time imposing a 30% levy on goods from Mexico and the European Union, respectively. 

This came after Trump over the past week imposed tariffs on Japan, South Korea, Canada, and Brazil, as well as a 50% duty on all copper imports. 

Trump’s tariffs will be effective from August 1, giving the targeted countries less than three weeks to reach a trade deal with Washington. He had postponed the deadline from July 9. 

Speaking to reporters on Sunday, Trump said talks with South Korea and the EU were ongoing, with both countries seeking deals to avoid his steep tariffs. 

Recent data showed U.S. customs duty collections surged to a record-high $113.3 billion gross in the first nine months of fiscal 2025 (the government’s fiscal year ends on September 30). Treasury Secretary Scott Bessent said this figure could reach $300 billion by December, representing a major source of fiscal revenue for the government. 

CPI inflation, bank earnings due

The focus this week, away from Trump’s volatile trade policies, will be on consumer price index inflation data for June, due on Tuesday, as well as the new quarterly earnings season.

The June U.S. consumer price index is due on Tuesday, and the widely-watched inflation reading will offer Wall Street clues on when the Federal Reserve may next cut interest rates.

The CPI is expected to show a monthly rise of 0.3% in June, a rise from the 0.1% increase in the prior month, while the annual release is seen climbing to 2.6%, from 2.4% in May.

At its gathering in June, the U.S. central bank chose to leave borrowing costs unchanged at a target range of 4.25% to 4.5%, and Fed fund futures indicate a slim chance of a rate cut at the end-July meeting, but suggest easing in September is likely.

The new U.S. corporate earnings season kicks off in earnest this week, with major banks, including JPMorgan Chase (NYSE:JPM), Bank of America (NYSE:BAC) and Wells Fargo (NYSE:WFC), leading the way.

Results are also due from the likes of Netflix (NASDAQ:NFLX), Johnson & Johnson (NYSE:JNJ) and 3M Company (NYSE:MMM).

Crude pushes higher

Oil prices rose Monday as traders await news of potential additional U.S. sanctions on Russia that may affect global output. 

At 06:15 ET, Brent futures climbed 1.5% to $71.42 a barrel, and U.S. West Texas Intermediate crude futures rose 1.6% to $69.57 a barrel.

Trump is due to make a "major statement" on Russia on Monday, having expressed frustration with Russian President Vladimir Putin due to the lack of progress in ending the war in Ukraine.

A bipartisan U.S. bill that would hit Russia with sanctions gained momentum last week in Congress, but it still awaits support from Trump.

European Union envoys are also seen to be close to agreeing another package of sanctions against Russia that would include a lower price cap on the country’s oil exports.