Wild Market Swings as Trump’s Tariffs Rattle the US Economy
Markets reeled on Monday in response to President Donald Trump’s aggressive global tariff campaign, which has injected uncertainty and fear into the heart of the US economy and beyond.
The S&P 500 suffered violent swings, ending the day down only 0.2% after momentary surges sparked by rumors of a tariff delay — rumors quickly denied by the White House. In just three days, the index had already lost more than 10% of its value, echoing financial crisis-level drops not seen since 2008 or the pandemic in 2020.
Trump’s trade war strategy, aimed at every nation, triggered retaliatory tariffs from China and sowed panic among investors. Wall Street icons like Jamie Dimon and Bill Ackman have begun speaking out, warning of an “economic nuclear winter” if the tariffs continue unchecked.
Despite pleas for a pause, Trump doubled down, threatening a 50% additional tariff on Chinese imports if Beijing doesn’t withdraw its retaliation. That would push total tariffs on Chinese goods to more than 100%.
Investors are bracing for a downturn. European and Asian markets also tumbled, with London’s FTSE 100 falling 4.4%, and Asian indexes plunging in what analysts called a “bloodbath.” Commodities, including oil and copper, fell sharply—signaling expectations of slowed industrial activity and consumer demand.
While Trump insists some tariffs may lead to negotiations, others, he says, are permanent fixtures in his “America First” economic blueprint.
For now, the markets are caught in a storm, clinging to any hope of stability, but the message from the president remains clear: it’s full speed ahead—deal or no deal.
