Global Markets Rattled: Trump's Reciprocal Tariffs Stir Economic Uncertainty

Global markets were thrown into turmoil following U.S. President Trump's announcement of reciprocal tariffs. Stocks fell, bond yields dropped, and the dollar weakened. Analysts are speculating on the potential for further trade negotiations and the impact on global economic growth, particularly involving the EU and China.

Global financial markets faced significant disruption on Thursday after U.S. President Donald Trump announced the imposition of reciprocal tariffs to match those levied on U.S. exports by other nations.

The introduction of these tariffs triggered a sharp decline in stock markets, investors shifted towards safer assets such as bonds, gold, and the yen. The S&P 500 futures fell by 3%, indicating a potential severe impact on Wall Street. Additionally, U.S. Treasury yields, China's yuan, and the value of the dollar experienced substantial drops.

According to financial experts, the long-term market implications include increased uncertainty and potential slowdowns in global economic growth, as negotiations and retaliatory trade measures unfold across Europe, China, and other global economies.

(With inputs from agencies.)