US Tariffs Trigger Global Market Turmoil
Stock declines: Major indices worldwide plunged, with Germany’s DAX tumbling 10% intraday, Hong Kong’s Hang Seng posting its fourth-largest single-day drop, and U.S. markets nearing bear territory23.
Recession fears: Analysts warn of heightened risks, with Goldman Sachs predicting a 45% chance of a U.S. recession and JP Morgan estimating 60%24. The S&P 500 lost nearly $6 trillion in value in four days3.
Tariff specifics:
China: 104% cumulative tariffs16
India: 26% duties on goods, hitting pharma stocks7
Global average: 29% tariffs, with some allies facing 40%6
Economic impact: IMF models suggest a 1% U.S. GDP contraction from universal 10% tariffs; KPMG forecasts a 0.8% UK GDP slowdown24.
Market reactions:
Asia: Nikkei fell 3%, South Korea’s won hit 16-year lows3
Commodities: Brent crude dropped 4%, copper declined2
Currencies: Safe-haven demand failed to lift gold significantly2
Retaliation: China imposed 34% tariffs on U.S. imports, escalating trade tensions26.
Negotiations: Japan, South Korea, and Vietnam prepare talks, but Trump remains firm on reversing U.S. trade deficits36.
Long-term risks: Experts warn the tariffs could reshape global supply chains and trigger prolonged economic disruption36.
US Tariffs Trigger Global Market Turmoil
