Global Stock Markets Plummet Amid Trump’s New Tariff Policies

Stock Markets React Negatively to Trump’s Tariffs

The global stock market witnessed a significant downturn following former U.S. President Donald Trump’s recent announcement of tariffs on nearly all American trade partners. The declaration, dubbed “Liberation Day,” sent shockwaves through financial markets, leading to widespread sell-offs across various indices.

U.S. Stock Market Takes a Hit

On Friday morning, U.S. stock futures recorded notable declines:

Dow Jones Industrial Average: Dropped nearly 1,100 points (2.68%).
S&P 500: Fell by 137.5 points (2.53%).
NASDAQ: Declined 510.25 points (2.73%).

Additionally, by the close of Thursday’s trading session, major stock indices had recorded their worst performance since the COVID-19 pandemic in June 2020:

NASDAQ: Down 6%.
S&P 500: Declined by 4.8%.
Dow Jones: Fell nearly 4%.

The tech sector suffered heavy losses, with leading companies facing steep declines:

Apple: Down 9%.
Amazon: Declined 9%.
Nike: Experienced a 14% drop.
Meta (Facebook & Instagram parent company): Fell 9%.
Nvidia (semiconductor leader): Lost 7%.
Tesla: Dropped 5%.

European and Australian Markets Experience Declines

The impact of Trump’s tariff policy extended beyond the U.S., affecting stock markets in Europe and Australia:

Britain’s FTSE 100: Fell over 1%.
Germany’s DAX: Declined by 0.75%.
France’s CAC: Lost 0.9%.
Spain’s IBEX: Dropped 1.4%.
Spain’s Market: Experienced a 6% decline.
Italy’s Market: Down 3.8%.
Australia’s S&P/ASX Index: Fell 2%, reaching an 8-month low.

U.S. Retailers Also Affected

Retailers dependent on imported goods were not spared in the market downturn:

Dollar Tree: Stock fell 13%.
Five Below: Plummeted 27%.

China Responds with Retaliatory Tariffs

In response to Trump’s tariff escalation, China swiftly imposed a 34% retaliatory tariff on all U.S. imports, exacerbating the financial instability in global markets.

Trump Remains Optimistic Amid Market Chaos

Despite the market turmoil, Trump downplayed concerns, stating that the U.S. stock market is “going very well.” However, analysts and investors remain wary, fearing prolonged economic instability due to ongoing trade tensions.

Key Takeaways

Global stock markets continue to decline following Trump’s tariff decision.
Major U.S. stock indices, including the Dow Jones, S&P 500, and NASDAQ, experienced significant losses.
Leading tech companies and U.S. retailers saw massive stock price declines.
European and Australian markets were also affected.
China responded with additional tariffs on U.S. goods.

For more insights on the stock market and economic trends, visit CNBC for in-depth financial analysis.