By Gill Bikram Singh 
New York, US:
Global stock markets faced significant losses following a major sell-off in the United States. The downturn was triggered by US President Donald Trump’s comments on Monday, where he refused to rule out the possibility that his tariffs could push the world’s largest economy into a recession. Investor concerns deepened as US bond yields dropped, fueled by Trump’s remarks describing the US economy as being in a “period of transition.” His shifting trade policies with Mexico, Canada, and China have raised fears of weakened consumer demand and reduced corporate investment.
In New York, the tech-heavy Nasdaq experienced its worst day since 2022, while the S&P 500—which tracks the largest American companies—has fallen more than 8% from its February peak.
Although President Trump has not directly addressed the economic concerns since his comments, top officials and advisers have made efforts to calm investors.
(global affair world news)
Markets See Sharp Declines
On Monday, the S&P 500 fell 2.7%, marking its lowest closing level since September and the biggest single-day decline since December. The Dow Jones Industrial Average dropped 2%, reaching its lowest point since November 4, the day before Trump’s election. The Nasdaq Composite plunged 4%, hitting a six-month low.
The Nasdaq officially entered a correction last week after falling more than 10% from its December all-time high. Meanwhile, MSCI’s global stock index recorded a 2% drop—its largest one-day decline—hitting its lowest point since January 13.
Tech stocks were particularly affected:
- Tesla, led by Trump’s ally Elon Musk, fell 15.4%.
- Nvidia, a leader in AI chips, dropped over 5%.
- Other major tech companies, including Meta, Amazon, and Alphabet, also saw significant declines.
Global markets reflected the turmoil:
- Japan’s Nikkei 225 fell 2.5%.
- South Korea’s Kospi dropped 2.3%.
- Australia’s S&P/ASX 200 declined 1.8%.
- India’s stock markets are also expected to open lower.
- Europe’s STOXX 600 index ended the day down 1.29%.
Bond Yields and Currency Movements
Investor demand for US government bonds surged as market confidence weakened.
- The 2-year US Treasury yield fell 10.4 basis points to 3.898%, marking the largest daily decline since September.
- The 10-year US Treasury yield dropped 9.3 basis points to 4.225%.
- The 30-year bond yield declined 6.9 basis points to 4.548%.
In currency markets, investors sought safer assets:
- The US dollar weakened 0.5% against the Japanese yen, reaching 147.29 yen.
- The euro fell slightly to $1.0826, while the British pound dropped 0.45% to $1.2862.
Oil Prices Fall Amid Trade Uncertainty
Oil prices also declined as ongoing tariff uncertainties and rising OPEC+ production unsettled investors. However, potential sanctions on Iranian oil limited the losses:
- US crude fell 1.51% to $66.03 per barrel.
- Brent crude dropped 1.53% to $69.28 per barrel.
Markets remain on edge as uncertainty over Trump’s trade policies and economic outlook continues to shake investor confidence globally.