Foreign financial markets plummeted on Monday, with US stock futures under new sales pressure The main index has collapsed Investors fear economic fallout from last week The latest tariffs from the Trump administration Salvo.
Tokyo’s Nikkei 225 index fell 7.8%. Hong Kong’s Hangsen has plunged 13.2% (its sharp decline) since the 1997 Asian financial crisis, but Shanghai’s combined index has lost 7.3%. In Taiwan, Taiex fell 9.7%, with the biggest loss on record.
Korean Cospi lost 5.6% at 2,328.20, while Australia’s S&P/ASX 200 fell 4.2% to 7,343.30, slightly recovering from losses above 6%.
European stocks continued downhill in the Asian market. Germany’s DAX index fell 5.8% in morning trading. Paris’ CAC 40 also lost 5.8%, while the UK’s FTSE 100 lost 4.9%.
Stock futures
According to Bloomberg, Dow Jones’ industrial average futures fell 1,246 points as of 5:58am EDT, while NASDAQ futures lost 646.75 points off and S&P 500 futures lost 170.75.
Stock markets around the world were sold last week after President Trump made a minimum announcement on April 2nd 10% tariff All US imports “Mutual” taxation Almost 90 countries. Global tariffs came into effect on Saturday, but the matching tariffs are expected to hit April 9th.
The scale of tariffs surprised investors, causing stocks to drop the most sharply in five years, wiping away the wealth of investors. Many economists warn of widespread duties on goods shipped to the US It can drive inflationhurts cold spending and economic growth by consumers.
Retaliation against the US, China said it would be placed on Friday 34% tariff on imports From April 10th, of all US products, Beijing began charging 15% tax on American agricultural products such as chicken, pork and soybeans in March.
“China and the US are currently trapped in chicken games, with the risk of a serious global trade war that will hit financial markets,” a Pantheon Macroeconomics analyst told investors in a memo.
The S&P 500 has fallen almost 14% since Trump announced the latest tariffs last week, while the Blue Chip Dow has fallen 12%. NASDAQ has placed high-tech indexes in the bear market, down almost 16% over that period, at least 20% from the latest high.
The highest tariff since 1909
Since re-entering the White House in January, Trump has slapped 25% tariffs on imports from Canada and Mexico, and has raised import duties on Chinese goods, putting it at 25% Foreign cars collectionamong other measures targeting US trading partners.
According to Yale Budget Lab, the average US tariff rate for imported goods is at its highest level since 1909.
Trump said Sunday that he would not retreat from his tariffs unless other countries are evenly balanced in trade with the US.
Speaking to reporters late Sunday in the Air Force, the president said he doesn’t want to fall into the global market, but he “have to take medicines to fix something.”
A Trump administration official said Sunday that more than 50 countries subject to the latest tariffs are demanding consultations.
I’ll talk to you “Faced with the country” On Sunday, Commerce Secretary Howard Lutnick said the tariffs “will definitely stay for days and weeks. The president needs to reset world trade.”
Despite last week’s market defeat, some Wall Street economists hope that the Trump administration will ease tariffs in certain countries in one month in exchange for a lower trade barrier. It will probably help you replenish your stocks.
“Our assumption is that over the next few months, Trump will “trade” with many countries, although China may be the exception,” said Paul Ashworth, a North American economist in capital economics, in a research note. “If it becomes clear that he is willing to accept relatively small concessions in exchange for reducing those tariffs, the stock should bounce back.”
The risk, according to analysts, is that Trump is trying to deploy additional tariffs instead or punish trade partners who deploy their own counters.
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I contributed to this report.
