Global Markets Tense Amid Tariff Tensions and Currency Fluctuations

Global stocks seesawed amid concerns over new U.S. tariffs under President-elect Trump, which targeted Canada, Mexico, and China. The Japanese yen rose to a three-week high against the U.S. dollar, and European and Asian stocks fluctuated. Investors remain hesitant as they navigate Trump's unpredictable trade policies.

Global stocks faltered on Wednesday as investors expressed concerns over potential U.S. tariffs under President-elect Donald Trump. With new levies promised on goods from Canada, Mexico, and China, the implications have created widespread market uncertainty.

The Japanese yen, considered a safe-haven currency, climbed to a three-week high against the U.S. dollar. This movement was exacerbated by falling Treasury yields, contrasting with a slight recovery in MSCI's broad index of Asia-Pacific shares.

In Europe, the STOXX 600 index declined 0.4%, while indicators pointed to a slightly lower opening for the S&P 500. Asian markets, previously rattled by tariff threats, showed mixed responses with Japan, Taiwan, and South Korea leading losses while stocks in China and Hong Kong showed signs of recovery.

(With inputs from agencies.)