U.S. companies had billions of dollars in value wiped out after President Donald Trump slapped sweeping tariffs on foreign imports. Virtually every sector suffered big losses Thursday as U.S. financial markets careened toward their biggest one-day drop since COVID-19 flattened the global economy five years ago.

U.S. stocks were heading for sharp closing declines on Thursday, with the bloodbath engulfing megacap technology names and small companies alike, as President Donald Trump's sweeping tariffs on major U.

As details of the new tariffs spread by text messages and tweets, executives and investors realized that Trump’s tariff threats were becoming a harsh reality. Restoration Hardware Chief Executive Officer Gary Friedman was on a call with analysts Wednesday afternoon talking about the furniture retailer’s strategy and how the housing market could slow in this economic environment when news of the tariffs broke.