Trump tariffs trigger steepest drop for US stocks since 2020 as China, EU vow to hit back

Global stocks sank a day after President Donald Trump announced a new tariff that is expected to raise prices and weight on the growth of the United States and abroad.

The stock market in the Asia -Pacific region has fallen 4.8% since the trace of 500 of the largest US companies since the S & P 500 has declined for two days since the S & P 500.

NIKE, Apple and Target were one of the worst hit songs, one of the big consumers names, and all were over 9%away.

In the White House, Trump told reporters that the US economy would “boom” with the decision that the US economy would impose at least 10%tariffs on imports.

Republicans plan to hit dozens of other countries with much higher payments, including trade partners such as China and the European Union.

Faced with a total of 54%of tariffs, China and 20%of the EU swore retaliation on Thursday.

Targets are taxes for products imported from other countries, and Trump’s plan, which was announced on Wednesday, will raise that obligation to some of the highest levels for more than 100 years.

The World Trade Organization has been “deeply concerned” and estimates that this year’s trade can be reduced by 1%.

Traders expressed concern that tariffs could cause inflation and stable growth.

In early Friday, Japan’s benchmark Nikkei 225 index was 1.8%, Korea’s KOSPI was about 1%lower, and Australia’s ASX 200 decreased 1.4%.

On Thursday, the S & P 500 continued to sell in the fear of trade war in mid -February with the value of about 2TN.

Dow Jones is about 4% lower, while NASDAQ drops about 6%.

Previously, the UK’s FTSE 100 stock index dropped 1.5%, and other European markets declined to Hong Kong.

At the White House on Thursday, Trump doubled its high -level gambling aimed at reversing the decades of US -led liberalization that formed trade order around the world.

“I think it’s going well,” he said. “This was the same surgery as when the patient had surgery, and it was a big thing. I said it would be exactly that way.”

He added. “The market will be booming. Stocks will be booming. This country will be booming.”

Trump also said the tariffs were open to trade partners.

Thursday, Canada’s Prime Minister Mark Carney said the state would retaliate with a 25%imposition of a vehicle imported from the United States.

Trump imposed a 25%tariff in Canada and Mexico last month, but did not announce a new task for North American trade partners on Wednesday.

Companies are now swallowing tariffs and working with their partners to share their burden, deliver them to consumers, and choose to decrease sales.

Some estimates show that US consumer spending can have a big impact of about 10% -15% of the global economy.

While stocks fell on Thursday, the price of gold, which was considered a safer asset during turbulence, achieved $ 3,167.57 on one ounces on Thursday.

The dollar has weakened about many other calls.

According to the analysts of Principal Asset Management, tariffs can be reduced to almost percent in Europe, and more hits when the block retaliates.

In the United States, the recession is likely to be realized without other changes, such as Trump’s big tax reduction, according to the company’s world strategist Seema Shah.

She said Trump’s goal would take a long time if he would “get up at all.”

“The steep tariffs on imports are likely to be short -term benefits, which are likely to be an immediate drag to the economy,” she said.

Stellantis, which creates Jeep, Fiat and other brands on Thursday, said it is temporarily suspended at the factory of Windsor, Mexico, Luca and Canada.

In response to 25%of Trump’s tax on automotive income, 900 people will temporarily supply the factory in five factories in the United States.

NIKE, which sports wear a lot in Asia in the stock market, has the biggest blow to S & P and the stock price has decreased by 14%.

Apple’s stocks, which rely heavily on China and Taiwan, exceeded 9%.

Other retailers also decreased by about 10%.

Harley-Davidson, a motorcycle manufacturer, who was the target of the EU’s retaliation tariff during the first term of Trump, fell by 10 percent.

In Europe, the sportswear company ADIDAS shares fell by more than 10%and rival PUMA stocks fell by more than 9%.

Pandora, a jewelry manufacturer among luxury product companies, has fallen more than 10%, and LVMH (Louis Vuitton Moet Hennessy) has fallen more than 3% after tariffs were imposed in the European Union and Switzerland.

Jay Woods, a global strategy of Freedom Capital Markets, said, “We are seeing that retailers are destroyed because retailers have expanded into countries we do not expect.