NEW YORK, June 3 (Xinhua) -- U.S. stocks traded lower on Monday as Washington's bombshell of tariffs on Mexico has weighed on markets.

At midday, the Dow Jones Industrial Average decreased 59.56 points, or 0.24 percent, to 24,755.48. The S&P 500 lost 14.04 points, or 0.51 percent, to 2,738.02. The Nasdaq Composite Index erased 107.28 points, or 1.44 percent, to 7,345.87.

U.S. President Donald Trump on Thursday said he would impose a 5-percent tariff on all imported Mexican goods beginning June 10 so as to pressure the country to halt undocumented migrants crossing the border, and will gradually increase tariffs until the problem is remedied.

The move has prompted analysts to lower earnings per share estimates for the year and warned of an economic recession which might come sooner than people previously estimated.

Nasdaq fell into correction territory on Monday, led lower by sharply declines in Alphabet and Facebook.

Shares of the Google parent company plunged 6.62 percent after the Justice Department is reportedly investigating the tech company for antitrust violations.

Facebook shares slid 7.51 percent after The Wall Street Journal reported that the Federal Trade Commission would be able to look into Facebook's practices and how they impact digital competition.

On the economic front, Institute for Supply Management's purchasing managers' index (PMI), which gauges the performance of the manufacturing sector, fell to 52.1 for May, lower than analysts' expectations. Enditem