Market Mayhem: Global Trade Tensions Trigger Wall Street Decline

Wall Street faced a severe downturn, with major indices recording significant declines due to escalating global trade tensions. The Nasdaq entered a bear market, while the Dow and S&P 500 confirmed corrections. Investors panicked as global tariff announcements, instigated by the Trump administration, heightened fears of an impending recession.

Wall Street experienced a sharp downturn for the second consecutive day, marking the Nasdaq Composite's entry into a bear market and a correction for the Dow Jones Industrial Average. This followed escalating global trade wars, triggering the largest losses since the pandemic began.

Investors expressed growing anxiety as the Trump administration's sweeping tariffs fueled fears of a global recession, erasing trillions in U.S. market value. The CBOE Volatility Index, a key measure of market fear, reached its highest level since April 2020.

Global reactions to U.S. tariff hikes heightened concerns, with JP Morgan increasing recession probability forecasts. Additionally, Chinese, British, Australian, and Italian leaders deliberated responses to the U.S. trade measures, further affecting market sentiment.

(With inputs from agencies.)