Global Markets Tremble Amid Trade Tensions and Record Gold Surges

Global stocks faced their weakest week since September 2024 due to U.S. tariffs and trade disputes, amid record gold prices. While U.S. government shutdown fears eased, global markets showed mixed responses. Trade uncertainties with the EU, Trump's tariff threats, and economic corrections stirred investor caution.

Global stocks faced a challenging week, marking their weakest performance since September 2024, as escalating U.S. tariffs and trade tensions drove investor uncertainty. Despite gold hitting record highs, risk appetite diminished, particularly with worries over trade disputes impacting key industries.

The U.S. market received a slight reprieve, as Congress's moves to avert a government shutdown bolstered sentiment. However, the global stock index, MSCI's all-country index, still fell dramatically. Financial experts noted the contrasting strategies of President Trump's current administration compared to his first term, adding to market instability.

Markets were turbulent across regions, with varied reactions from Asia and Europe. China's stock surge contrasted with overall global declines linked to trade tensions. Additionally, currency fluctuations added another layer of complexity, with the dollar making modest gains but still struggling below past high levels.

(With inputs from agencies.)