Global Financial Markets Plummet Amid Trump's Tariff Turmoil

Global financial markets are experiencing significant losses following President Trump's announcement of severe tariffs. The S&P 500, Dow Jones, and Nasdaq all dropped as fears of inflation and economic slowdown intensified. Investors are bracing for potential long-term impacts, especially if these tariffs remain in place.

Financial markets worldwide are tumbling after President Donald Trump announced his most severe round of tariffs yet. The U.S. stock market was notably impacted, with the S&P 500 dropping by 4% in morning trading— a larger decline than other major markets experienced.

The Dow Jones Industrial Average and Nasdaq composite fell by 3.6% and 4% respectively amid concerns about rising inflation and economic slowdown. Factors including oil and Big Tech stocks, along with currency values, were hit, resulting in decreased global market stability.

Investors had anticipated a sweeping tariff announcement, but Trump's minimum 10% tariff exceeded expectations and raised fears of long-term economic effects, such as a potential 2% decrease in U.S. GDP and inflation nearing 5%. As stocks worldwide suffer, the Federal Reserve may consider interest rate cuts to revive economic activity.

(With inputs from agencies.)