Crazy Flux
  • Business
  • World
  • Stocks
  • Investing
  • Business
  • World
  • Stocks
  • Investing

Crazy Flux

Investing

Tariff Shock: Trillions Wiped Out as Trade War Fears Spark Selloff

by admin April 8, 2025
April 8, 2025
Tariff Shock: Trillions Wiped Out as Trade War Fears Spark Selloff

Global markets continued to register heavy losses on Monday (April 7) as tariff-triggered trade tensions increased and investors reacted to hawkish signals from the US Federal Reserve.

The mass market selloff has erased trillions in market value worldwide, with no major region spared.

The S&P 500 (INDEXSP:.INX) fell 2.3 percent, while the Nasdaq Composite (INDEXNASDAQ:.IXIC) dropped 2.8 percent as tech stocks bore the brunt of the selloff, shedding an estimated US$9.5 trillion in value. The Dow Jones Industrial Average (INDEXDJX:.DJI) was down 900 points by midday, wiping out roughly US$900 billion in market capitalization.

Retaliatory tariffs and resource export limitations out of China have rattled investors, as have comments from Fed Chair Jerome Powell that there may be fewer interest rate cuts in 2025.

Before American markets opened on Monday, Asian markets offered a precursor for the day’s activity, with Japan’s Nikkei 225 (INDEXNIKKEI:NI225) plunging 3.1 percent, its worst day in months. Other Asian markets also registered declines as geopolitical tensions and lingering concerns over China’s property sector crisis continued.

Australia’s S&P/ASX 200 (INDEXASX:XJO) ended the day 4.2 percent lower amid the market rout, erasing approximately AU$1.2 billion. The day’s performance was the worst showing for the ASX 200 since May 2020. Mining stocks faced the added pressure of a weakening iron ore prices. The Australian dollar also fell to a five year low, trading below US$0.60.

Last week, Australia decided not to levy retaliatory tariffs against the US. However, Prime Minister Anthony Albanese has denounced the 10 percent tariff on Australian exports saying it was not the “act of a friend.”

Canada’s two main indexes also experienced notable declines, reflecting the broader global market meltdown.

The S&P/TSX Composite Index (INDEXTSI:OSPTX) fell 234.06 points (1.01 percent) at the open, reaching 22,959.41. Similarly, the S&P/TSX Venture Composite Index (INDEXTSI:JX) sank by 460 points, mirroring losses in other major indexes.

Markets brace for further impact

The combined losses across major markets pushed the Nasdaq Composite into bear market territory on Friday (April 4) after the index registered a 20 percent decline.

Concerns that S&P 500 would follow suit mounted on Monday.

CNBC’s Jim Cramer likened the market selloff to “Black Monday,” noting the similarities to the 1987 market crash.

Analysts warn that further volatility is likely if inflation data due later this week exceeds expectations.

Even safe-haven asset gold felt the pressure as it fell below US$3,000 an ounce for the first time since mid-March.

The high-pitched market uncertainty highlights the far-reaching consequences of the sweeping new tariffs and China’s swift retaliation, which together have reignited fears of a global trade war.

With a 10 percent baseline duty on all imports as well as double-digit targeted tariffs, investors are recalibrating their strategies in real time, pulling back from risk and pivoting toward safe-haven assets.

Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

previous post
Carbonxt Completes Share Purchase Plan
next post
DP Trading Room: Key Support Levels for the SPY

Related Posts

Lode Gold Strengthens Board of Spin Co Gold...

March 8, 2025

Editor’s Picks: Marathon Project Gets Nod, Rio Tinto...

June 7, 2025

Mining Industry’s Exploration Spending Lagging, Will Budgets Grow...

March 19, 2025

Per Jander: Uranium Still “Very Early” in Cycle,...

March 15, 2025

Hempalta Announces Issuance of Warrants and TSXV Approval...

March 11, 2025

Nolan Watson: Gold Cycle Reset Upward, Price High...

March 21, 2025

Metro Mining: Pure-Play Low-cost Producer of High-grade Australian...

March 21, 2025

Triumph Gold Updates Shareholders on Operations, Engages Market...

May 10, 2025

Prismo Metals Announces Closing of Debt Settlement

March 11, 2025

175m @ 2.5% Copper from 7.6m, Hole Ends...

May 7, 2025

    Join our mailing list to get access to special deals, promotions, and insider information. Your exclusive benefits await! Enjoy personalized recommendations, first dibs on sales, and members-only content that makes you feel like a true VIP. Sign up now and start saving!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent

    • Princess of Wales pulls out of Royal Ascot

      June 19, 2025
    • British lawmakers vote to decriminalize abortion for pregnant women while America cracks down

      June 19, 2025
    • The US has toppled an Iranian government before. Here’s what happened

      June 19, 2025
    • A US strike on Iran could open a ‘Pandora’s box’ in the Middle East, experts warn

      June 19, 2025
    • Pro-Israel hackers take credit after $90 million stolen from Iran’s largest crypto exchange

      June 19, 2025
    • Erick strengthens into a Category 3 major hurricane approaching Mexico’s coast

      June 19, 2025
    • About us
    • Contacts
    • Privacy Policy
    • Terms and Conditions
    • Email Whitelisting

    Disclaimer: crazyflux.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 crazyflux.com | All Rights Reserved