Trump’s tariffs have brought a historical collapse into stock markets around the world. Even the US market in the first 20 minutes lost more than 2.1 trillion dollars.
U.S. president Donald Trump, along with his decision on duties, has pushed world markets to a stupor. Today, historical falls are observed in stock exchanges around the world. Experts have already warned that the second in Black History Monday is approaching the economy.
Cool climax
The excitement began in Asia, where stock markets fell later, in response to the actions of the United States, China introduced its duties. Then the fears about a long trade war spread to world markets.
So, Hong Kong Stock Exchange’s exchange index fell by 13.2%, which has been the biggest fall since the Asian financial crisis in 1997. Also, the Shanghai Stock Exchange index dropped by 7.3%, losing 258 points. Chinese stock market opened a fall of 10% – this is the biggest one -day fall since 2008.
The Taiwan market observed a significant fall of 9.7%, while Japanese Nikkei fell 7.8%. Even the Indian Nifty Index fell 3.2% at the opening.
Sales spread quickly around the world: markets fell 7.4% in Singapore, 4.2% in Australia and 5.5% in South Korea.
European financial markets have also not passed: Italy fell 6.9%, Sweden – of 6.2%, and the Netherlands and Australia – of 6.1%. France fell 6% (as soon as Paris generally stopped all banking operations in its stock market)Spain – of 5.7%, and Germany suffered losses by 10% before moderate recovery.
At the same time, Switzerland markets fell 5.5%, and markets in the UK lost 4.6%. In other countries, such as the Philippines and Malaysia, there is a decrease of 4.3% and 4%, respectively.
In the US stock market, more than $ 2.1 trillion lost in the first 20 minutes. This is the worst three -day fall of the S&P 500 index since October 1987. Shares of large companies have also been significantly lost in value: Apple – by 6%, NVIDIA – at almost 7%, Tesla – by 7.92%. Due to a sharp fall, data at the expense of shares of companies has ceased to be updated in real time.
Cryptocurrency and oil
Autumn is not limited to traditional markets. Cryptocurrencies also struck: the world’s biggest digital asset, fell by about 10% to $ 75,000. This loss destroyed nearly 150 billion dollars of market capitalization.
The second largest cryptocurrency Ethereum fell 17% to $ 1488. According to CoinMarketCap, the entire digital currency market fell 10.43% to 2.37 trillion dollars.
The price of a Brent oil barrel fell by 3.3% to $ 63.4While natural gas prices fell by about 2%. The price of gold per ounce fell 0.34% to $ 3026. Last week, he reached a level of over $ 3,100. Silver climbed 1.6%. The copper fell to 0.7%, steel – by 2.43%.
“Second” “Black Monday”
Famous CNBC TV presenter Jim Kramer believes “Milia Blood” can now be the second “black Monday” in world history. In the first instance, the event took place on October 19, 1987. Then the markets around the world, the Dow Jones Industrial Index in the United States fell 22.6%, and the S&P 500 index collapsed 30% in just one day. This event provoked a global decline in the stock market. The excitement continued for a month, and in early November 1987, most of the major stock market indices lost more than 20% of their value.
“If the President does not stop and does not start to somehow play with those countries and companies trying to play in accordance with the rules, then the 1987 script may be repeated,” said Kramer, indicating the collapse of Dowu Jones.
“Then we flew three days later, and on Monday we fell 22% immediately – and it could be closer than it seems,” he added.
There are many reasons for that fall -the growth of bets, excessive heat of properties, geopolitical nervousness and, of course, then stylish algorithmic trading, which accelerates sales in automatic mode.
“So the new world is immediately blind to the world is not an easy task,” Kramer said.
“Everyone was in a hurry to panic, but for now I see nothing of anything that can remove the repetition of October 1987 history from the table,” the expert said.
However, Kramer left the markets of a small promotion of hope. He noted that a strong working report could partially destroy the impact of a possible collapse: “This makes a more likely scenario in which the collapse of the market will automatically lead to a retreat.”
“Medicines” Trump
Against the historical collapse of stock markets, the US president maintained his stable position on duties, calling them the necessary “drugs” to overcome trade deficiency.
“I don’t want to get worse, but sometimes you have to take drugs to correct something. Our country has become stronger … and eventually it will be a world -dominating economic country in the world,” he said while talking to journalists.
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Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.