The S&P 500 notched its worst week in more than two years Friday, as stocks continued to retreat while investors weigh the impact of tariffs and higher interest rates.

The Dow Jones Industrial Average tumbled 424.69 points, or 1.77%, to 23,533.20. The S&P 500 fell 55.43 points, or 2.1%, to 2,588.26. The Nasdaq Composite was down 174.01 points, or 2.43%, at 6,992.67.

The S&P and Nasdaq recorded their worst weekly performances since January 2016, led by a sell-off in financial and technology stocks. The S&P was down 5.95% this week, while the 30-member Dow lost 5.67%.

President Donald Trump announced on Thursday that he plans to impose tariffs on roughly $50 billion in Chinese imports. China is already retaliating, saying it will pursue tariffs on $3 billion in U.S. products such as steel, pork and wine.

“Understandably, the prospect of a trade war between the world’s two largest economies is not particularly desirable for investors,” said Craig Erlam, senior market analyst at Oanda. “The global economy is finally starting to tick along nicely after a decade of efforts to repair the damage of the global financial crisis and the issues that followed and now we’re potentially having to deal with an entirely self-inflicted and avoidable problem.”

The market also considered economic reports released Friday. New home sales dipped slightly in February versus January’s revised reading.

Orders for durable goods, key U.S. products that are expected to last at least three years, jumped 3.1% in February, much stronger than the 1.5% estimate.

West Texas Intermediate oil close at an eight-week high, rising 2.5% to $65.88 a barrel.

Investors are also watching staff changes at the White House. Read more at FOX Business