Wall Street Tumbles Amid Global Trade War Fears

Wall Street experienced significant losses for the second consecutive day due to escalating global trade tensions. President Trump's tariffs led to market declines, with the Nasdaq entering a bear market and the Dow entering a correction. Fears of a recession, triggered by U.S. and possible retaliatory tariffs, unnerved investors worldwide.

Wall Street continued its downward spiral on Friday as fears of a global trade war intensified. The Nasdaq Composite confirmed a bear market, while the Dow Jones Industrial Average slipped into a correction amidst President Trump's tariff measures.

The market rout, the steepest since the pandemic's onset, was propelled by President Donald Trump's extensive tariffs, which stoked recession fears and erased trillions of dollars from the value of American companies. Investors are concerned about heightened economic uncertainty and potential retaliatory actions from U.S. trading partners.

The volatility index hit its highest point since August. China's announcement of additional tariffs, coupled with policy deliberations among global leaders, further exacerbated market instability. The Federal Reserve acknowledged potential economic challenges from the tariffs, amid growing speculation of impending interest rate cuts.

(With inputs from agencies.)