Stock market today: S&P 500, Nasdaq sink, Dow claws back as Mexico gets Trump tariff reprieve

Given the uncertainty surrounding the tariffs and their potential impacts on various sectors, especially those reliant on cross-border trade like automotive and tech, there is a bearish outlook on affected stocks. The introduction of tariffs typically leads to increased production costs, which may compress profit margins and hinder stock performance.

Tesla, as an electric vehicle manufacturer relying on parts from both Canada and Mexico, is likely to face margin pressures due to the setup of tariffs, impacting its stock performance negatively as well.

Amid the overall uncertainty, defensive stocks like those in healthcare and consumer staples are expected to perform better as investors seek safety, indicating a positive trend for these segments.

In the context of the tariffs and economic implications, general market sentiment could lead to a bearish atmosphere impacting the S&P 500, which is heavily influenced by consumer discretionary spending and automotive sectors.