Global stock markets plummet amid concerns over Trump tariffs.

 Global stock markets plunged on Monday as investors expressed deep concern over the potential economic fallout from President Trump's sweeping tariffs.

In Asia, major stock indexes ended the day sharply lower, reflecting fears of an escalating trade war between the world's two largest economies. China's announcement of retaliatory tariffs on Friday added to market anxiety after trading hours.

U.S. futures also pointed to a weak opening: both the S&P 500 and Dow Jones Industrial Average had fallen by over 3% before Monday's Wall Street opening. By the end of last week, the Dow had dropped nearly 8%, while the Nasdaq Composite had fallen into bear market territory, marking a 20% decline from recent highs.

The latest developments include Hong Kong's Hang Seng Index, which tumbled 13.2%, its largest single-day decline since 1997, while Taiwan's index dropped nearly 10%, setting a record. In mainland China, key indices saw declines of up to 9%, and Japan's Nikkei index fell nearly 8%. European markets followed suit, with France's CAC 40, Germany's DAX, and the UK's FTSE 100 all down by 4%-6% in early trading.

India’s stock market suffered its largest percentage loss since March 2020, with the BSE Sensex and Nifty 50 both falling by about 5%, although they later recovered somewhat. Middle Eastern markets also experienced significant declines, with Brent crude dropping nearly 15% over the past five days, and exchanges in Dubai and Abu Dhabi fell 5% and 4%, respectively.

Trump's tariff policies, including a minimum 10% global tariff and reciprocal tariffs on dozens of countries, have raised fears of a looming recession. Major investment banks have adjusted their economic forecasts, with Goldman Sachs increasing the likelihood of a recession to 45% from 35%. JP Morgan has raised its forecast to 60%.

Mark Zandi, chief economist at Moody’s Analytics, voiced concerns about the rising risk of recession, urging lawmakers and the White House to find common ground and resolve the global trade conflict before further damage is done.

Despite growing backlash, including from some of his supporters, President Trump has doubled down on his stance. Billionaire hedge fund manager Bill Ackman called the tariffs "economic nuclear war" and urged Trump to negotiate a resolution, while Tesla CEO Elon Musk suggested moving toward a zero-tariff free trade zone. However, Commerce Secretary Howard Lutnick confirmed that the tariffs would remain in place for the foreseeable future, as Trump seeks to reset global trade dynamics.

Speaking on Air Force One, Trump dismissed concerns, emphasizing the need for "medicine" to fix global trade imbalances, even if it causes temporary market pain.