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Asian markets decline following Donald Trump’s tariff announcements

As the tariffs' impact rippled across global financial markets, major economies in Asia bore the brunt of the shock, with stocks plummeting and investors rushing to safe-haven assets.

US President Donald Trump is seen on a screen as a currency trader works at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea. (AP Photo)

Asian markets and US futures fell sharply Thursday after US President Donald Trump announced significant tariff hikes on imports from various countries. As the tariffs’ impact rippled across global financial markets, major economies bore the brunt of the shock, with stocks plummeting and investors rushing to safe-haven assets.

Markets across the world bear the brunt of tariff shock:

Japan: Nikkei declines amidst 24% tariff announcement

Tokyo’s Nikkei 225 index fell 2.8%, hitting an eight-month low as nearly all sectors, including shippers, banks, insurers, and exporters, suffered losses. The market reacted negatively to Trump’s 24% tariff on Japanese imports.

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South Korea: Kospi slumps following 25% tariff imposition

South Korea, another US ally, faced a 25% tariff, causing its Kospi index to fall 2%. Investors scrambled to reassess the impact of these tariffs on the country’s trade-dependent economy.

Australia: ASX 200 records sharp losses

Australian markets fell 2%, tracking losses across Asia as concerns mounted over potential slowdowns in global trade and economic growth.

China: Tech stocks hit hard as tariffs reach 54%

Trump’s tariff announcement dealt a heavy blow to China’s manufacturing sector. The new levies totaled 54% on Chinese imports, leading to a 0.24% decline in the CSI 300 index and a 0.1% drop in the Shanghai Composite. Hong Kong’s Hang Seng Index slid 1.6%. China’s yuan weakened, hitting its lowest level since mid-February at 7.3060 per dollar.

Vietnam: Markets react to 46% tariff

Vietnam was hit with a 46% tariff, sending Van Eck’s Vietnam ETF down more than 8% in after-hours trading. Investors fear the impact on supply chains, as Vietnam has become a key manufacturing hub in recent years.

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US Futures signal market weakness

Futures for the S&P 500 fell 3%, while the Dow Jones Industrial Average futures dropped 2%, indicating potential losses when US markets reopen.

US Markets react to “Liberation Day” tariffs

On Wednesday, US stocks experienced volatility leading up to Trump’s tariff announcement. The S&P 500 closed 0.7% higher at 5,670.97, having fluctuated between a 1.1% loss and a 1.1% gain. The Dow Jones Industrial Average rose 0.6% to 42,225.32, while the Nasdaq composite gained 0.9% to 17,601.05.

Newsmax Experiences Massive Volatility

On Wall Street, Newsmax fell 77.5 per cent in its third day of trading to give back some of the meteoric gains from its debut at the start of the week. It surged 735 per cent Monday and then another 179 per cent on Tuesday.

Bond market and Safe-Haven assets surge

Treasury yields dropped as investors sought safety. The 10-year Treasury yield fell to a five-month low of 4.04%. Gold surged past $3,160 per ounce, reaching a record high, while the yen strengthened to the strong side of 148 per dollar.

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Markets remain on edge as investors assess the impact of Trump’s aggressive trade measures.