Global Markets Crash Amid Trump’s Trade War; $6.6 Trillion Wiped Off US Stocks

Last Updated Apr - 05 - 2025, 03:44 PM | Source : Fela News

US markets suffer historic losses as Trump’s tariffs spark global trade tensions. Dow plunges 4,000+ points, S&P enters bear territory. China retaliates with sw

The global financial landscape has been shaken by a historic market crash triggered by former President Donald Trump’s aggressive trade policies, which have strained US relations with key global partners. Over two days, the US stock market lost about $6.6 trillion in value, according to The Wall Street Journal. Reuters noted that the S&P 500 alone shed nearly $5 trillion. On April 4, the Dow Jones dropped 5.5%, with a massive 2,200-point fall in one day. The S&P 500 declined by almost 6%, while the Nasdaq fell 5.8%, entering bear market territory.

The turmoil extended globally—Germany’s DAX and France’s CAC 40 posted major losses, oil prices hit their lowest since 2021, and Japan’s Nikkei slid 2.8%. In India, markets wiped out nearly ₹9 trillion in value, with the Sensex dropping 930 points and the Nifty 50 falling 345 points.

China retaliated with a 34% tariff on all US imports, escalating trade tensions. Other nations, including the EU, Japan, and South Korea, are weighing responses. JPMorgan warned of a possible US recession, while Goldman Sachs noted investors are cautious but not exiting. Global investors are increasingly shifting focus to international markets as uncertainty looms over the US economy.