Wall Street is assessing President Trump''s tariff salvo on Apple and what his giant tax bill means for the deficit and the economy.

The Dow, S&P 500, and Nasdaq are down after President Donald Trump threatened Apple with 25% tariffs on foreign-made iPhones.

President Trump's threat of 50% tariffs on European goods, starting June 1, were in focus ahead of the long U.S. holiday weekend. Trump also warned Apple that it faces a potential levy relating to its iPhone.

Yields on government debt have risen as Congress weighs Trump’s budget plan. Meanwhile, interest on the debt is approaching $1 trillion a year – on par with proposed Defense spending.

A top Federal Reserve official said the steep cost of President Trump’s major policy bill caught the bond market off-guard, leading to a spike in U.S. interest rates. In a Thursday

Stocks were down Friday after President Trump threatened to impose a 25% tariff on Apple and 50% tariff on the European Union.

President Donald Trump's latest tariff escalation took investors by surprise on Friday. But in retrospect, there were signs, as Nomura's Charlie McElligott pointed out in commentary shared with MarketWatch.

That yield shows roughly how much in interest the U.S. government needs to pay investors to get them to lend it cash for 10 years. Washington needs that cash because it consistently spends more than it takes in through tax revenue. And when bond investors are more wary of lending to the U.S. government, yields for Treasurys rise.