CNBC host Jim Cramer warns of an impending market crash similar to Black Monday 1987 if President Trump doesn't change his tariff policies.
CNBC host and market commentator Jim Cramer issued a stark warning: America could face another "Black Monday" market crash, echoing the devastating 1987 collapse, if President Trump doesn't revise his tariff strategy. Cramer pointed to the 22.6% single-day Dow Jones Industrial Average plunge in 1987 as a potential precedent, given the recent two-day sell-off following Trump's sweeping tariffs on nearly 90 countries. He stated that if Trump doesn't compromise and reward countries and companies that abide by the rules, a similar scenario could unfold, potentially culminating in a significant market drop by Monday. The recent tariffs triggered a brutal two-day sell-off, resulting in a 3,910-point Dow plunge—the worst since the pandemic—and a total market loss of $6.6 trillion. Experts like Apollo chief economist Torsten Slok even warned of a potential recession if the tariffs persist. Despite these warnings, Treasury Secretary Scott Bessent affirmed the administration's commitment to its current course, downplaying recession fears and emphasizing long-term economic goals. Cramer, initially supportive of Trump's tariffs, indicated he would withdraw his support if Monday brings a negative market outcome, and would become furious if Europe retaliates against American tech companies.
