(WBBM NEWSRADIO) -- Stocks closed sharply lower Monday with the Dow posting its worst point drop for the year as the trade war between the United States and China escalates.
The S&P 500 lost 87, the NASDAQ shed 278 and the Dow Jones Industrial Average closed down nearly 770 points, settling to 25,717.
"The retaliation by China was pretty dramatic … most notably the currency . The Chinese government allowed the Yuan to fall past a significant peg that had really been upheld for the last decade or so. That really lent to the severity of the move," Jack Ablin, chief investment officer at Cresset Capital in Chicago, said.
He adds that he is looking to see what the impact and uncertainty of the trade talks will have on economic conditions going forward and that could take several months.