Global Markets Tumble Amid Unsettling Tariff Warnings from Trump

Global equity markets dipped while gold hit a record high following U.S. President Trump's tariff warnings. Concerns of a global trade war triggering a recession loom large as markets react. Analysts predict increased recession risks, heightened by rising inflation and stagnant economic indicators.

Global markets witnessed a setback as equity indices fell amidst a fresh wave of apprehension sparked by U.S. President Donald Trump's tariff announcements. Safe-haven gold soared to a historic high, reflecting investor anxiety over potential global trade disruptions leading to economic slowdowns.

President Trump declared tariffs would apply broadly, intensifying fears of a global trade war and its potential recessionary outcomes. Wall Street's key indexes dipped, dragged down by losses in consumer discretionary and technology stocks, though gains were registered in sectors like energy and real estate.

Nominal traction in European and Asian markets was evident as Goldman Sachs raised its U.S. recession odds to 35% amid burgeoning inflation pressures. Analysts noted a concerning stagflation risk, posing significant threats to stock valuation and investor sentiment.

(With inputs from agencies.)