Market Turmoil: Tariffs Spark a Global Stock Selloff

Global stocks tumbled, and the dollar lost ground amid escalating tariffs and fears of a looming recession. A sharp selloff in U.S. Treasuries and surging safe-haven assets reflect investor anxiety. The trade war between the U.S. and China intensifies, further clouding the economic outlook.

Global stocks took a hit, and the dollar continued its decline on Friday, marking a turbulent end to a week dominated by worldwide tariff escalations. These actions have stoked fears of a deep recession, shaking investor confidence in U.S. markets. Safe-haven assets like the Swiss franc and gold surged amid the uncertainty.

U.S. Treasuries witnessed a dramatic selloff, with the 10-year note yield rising to 4.45%, experiencing its largest weekly jump since 2001, according to LSEG data. This sharp move signals waning confidence in the U.S. economy. Asian markets also felt the impact, with Japan's Nikkei dropping significantly and Korean stocks declining.

Escalating Sino-U.S. trade tensions have further unsettled investors. Trump's tariff hikes on Chinese imports and China's retaliatory measures have exacerbated fears. Economists remain cautious about the short-term outlook as inflation concerns and trade uncertainties loom large, casting a shadow over global risk assets.

(With inputs from agencies.)