Global markets plunged on Thursday as aggressive new U.S. tariffs triggered a flight to safe-haven assets, with technology stocks bearing the brunt of the selloff. President Donald Trump's announcement of sweeping import levies – including rates exceeding 30% on the Chinese mainland – sent shockwaves through financial hubs from Tokyo to New York.
Tech Giants Lose $760 Billion Overnight
Nasdaq futures plummeted 4% in after-hours trading, erasing $760 billion from major U.S. tech firms. Apple shares sank nearly 7% as new tariffs targeted electronics manufacturing concentrated in the Chinese mainland. The S&P 500 and European indices followed suit, dropping over 3% and 2% respectively.
Commodities Signal Economic Anxiety
Gold surged to a record $3,160/oz while Brent crude oil prices fell 3% to $72.56/barrel. Benchmark 10-year Treasury yields dropped 14 basis points to 4.04%, reflecting fears of slowed economic growth. "These tariffs represent the highest U.S. import taxes in a century," warned Citi strategist Ben Wiltshire.
Asian Markets Face Uneven Impacts
Japan's Nikkei slid 3.9% to an eight-month low, while South Korea's KOSPI fell 2%. Vietnam-focused ETFs collapsed 8% following a 46% tariff announcement. "This creates unprecedented risks for global supply chains," noted Pinpoint Asset Management's Zhiwei Zhang in Hong Kong.
The measures impose varying rates across regions: 34% on the Chinese mainland, 25% on the Republic of Korea, and 20% on EU imports. Analysts warn the moves could reshape international trade patterns and delay central bank rate adjustments.
