Stock markets plunged on Monday due to concerns over global trade tensions after US President Donald Trump threatened tariffs on Canada, China, and Mexico.
Wall Street’s main indices fell sharply at the start, but partially recovered after Trump delayed the imposition of tariffs on Mexico by one month. The announcement of 25% levies on Canadian and Mexican imports and 10% on Chinese goods raised fears of a global economic slowdown.
European markets also closed lower, with automotive stocks like Volkswagen and Stellantis suffering significant losses. Asian markets followed suit, finishing mostly in the red.
Experts warned that the tariffs could lead to inflation and slow economic growth, with investors growing increasingly nervous about the uncertainties. Trump acknowledged potential economic pain for Americans but deemed it “worth the price.”
The global trade uncertainty also affected tech stocks, with major companies like Tesla and Apple experiencing sharp declines.