Global Markets Reeling: Trade Tensions Trigger Economic Turbulence

Global stock markets experienced a significant downturn as U.S. President Donald Trump's unwavering stance on tariffs heightened fears of recession. Major indexes tumbled, with the S&P 500 nearing a bear market. Investors are closely watching potential Federal Reserve rate cuts to mitigate the economic fallout.

Global financial markets faced a sharp decline as major stock indexes, including the S&P 500, plunged amid escalating fears of a U.S.-China trade war. The anxiety was fueled by President Donald Trump's steadfast adherence to his aggressive tariff strategy, despite its potential to spark a recession.

As U.S. share futures faltered, volatility indexes surged in response to the uncertainty. Investors anticipated that the impending economic risks might prompt the Federal Reserve to cut interest rates, potentially as early as May, with markets already pricing in several rate reductions throughout the year.

The ripple effect of these tensions spread internationally, with European and Asian markets also suffering significant losses. Oil prices faltered, the dollar weakened against safe haven currencies, and nerves within the financial sector continued to intensify amid ongoing economic concerns.

(With inputs from agencies.)