Stocks tremble for the second consecutive day as China strikes back against Trump tariffs
Stocks are expected to drop sharply for the second consecutive day, amid investors’ attention to U.S. economic growth and the prospect of a global trade war.
90 minutes before New York trade began, Dow Jones Industrial Average Futures fell nearly 1,500 points, or 3.6%. Futures for the S&P 500 and Nasdaq Composite glided 3.7% and 3.9% respectively.
These figures build up another sharply falling financial market after stock torture Thursday The biggest day According to FactSet, investors have had about $2 trillion in wealth since 2020.
President Trump announced a 10% baseline tariff Among all U.S. trading partners, taxes were imposed on dozens of countries that charged higher taxes on U.S. export taxes.
Economists and Wall Street analysts expect Trump administration to have new tariffs It is called “Liberation Day”, Reduce economic growth and increase inflation. Most market analysts still put the chances of a recession below 50%, although they warn that things look increasingly vulnerable.
“The opening ceremony of Wednesday afternoon Salvo was too devastating, mean and economically illiterate to move out, and the already ongoing recession will now turn into something worse,” stock analyst Adam Crisafulli said in a note to investors.
Overseas markets also glide on Friday. In the overnight dealings in Asia, Tokyo’s Nikkei 225 lost 2.8%, while South Korea’s Kospi sunk 0.9%. Markets in Shanghai, Taiwan, Hong Kong and Indonesia were closed due to holidays, limiting the scope of selling in Asia on Friday.
In European trade, Germany lost 2% of DAX, France’s CAC 40 in Paris fell 1.6% while the UK’s FTSE 100 fell 1.7%.
Mr. Trump warned other countries not to collect U.S. imports. Ignoring this suggestion, China said on Friday it would impose 34% tariff on imports Among all U.S. products starting April 10.
The new tariffs match the U.S. tariff rate announced by Mr. Trump this week, which he called a “reciprocal” measure, claiming that China’s tariffs and other measures on U.S. goods have reached a 67% trade barrier.
Contributed to this report.
