Wall Street is in free fall 🔥 as fears of a global trade war triggered by former U.S. President Donald Trump’s steep tariffs sent markets into their worst two-day slump since the pandemic. The Nasdaq officially entered a bear market 🐻, while the Dow and S&P 500 plunged into correction territory, wiping trillions in value.
Market Meltdown in Numbers 📊
The Nasdaq dropped 11.4% over two days, hitting lows not seen since December 2021. The Dow sank 9.3%, and the S&P 500 cratered 10.5%—its lowest close in 11 months. Over 26.7 billion shares traded Friday, smashing the previous record 🌪️.
Tariffs & Trade War Tensions 🔥
Trump’s tariffs—the highest in over a century—sparked panic, with China imposing 34% duties on U.S. goods and European leaders scrambling to respond. Investors fear retaliation could tip the global economy into recession, with JPMorgan now seeing a 60% chance by year-end ⚠️.
Wild West of Economic Policy 🤠
Federal Reserve Chair Jerome Powell warned tariffs could fuel inflation and stall growth, complicating rate decisions. Safe-haven bond buying pushed 10-year Treasury yields below 4%, hammering bank stocks. Energy shares led losses as oil prices tanked 7.3% ⛽.
Analysts call it a "market vote against protectionism," with one UBS strategist dubbing it the "Wild West of a trade war." As governments worldwide weigh retaliation, the stakes—and uncertainty—keep rising 🌍.
