By Admin 
US Stock Market Crash: The latest developments related to Trump tariffs had a heavy impact on the American markets and a sharp decline was seen on Wall Street. Heavy fall in Wall Street Dow Jones Industrial Average first fell by 771.92 points and finally closed with a fall of 824 points. Nasdaq Composite fell 326.07 points to 22,560.79. The S&P 500 fell 79.72 points to close at 6,829.79.
Why the chaos in the American market?
Analysts believe that uncertainty over tariffs and potential trade tensions increased investor nervousness, leading to widespread selling. Turn towards safe investment: Amidst the huge fall in the stock market, investors turned to safe investment options.
Gold jumped nearly 2 percent to $5,200 an ounce, indicating demand for safe haven. At the same time, in the cryptocurrency market, Bitcoin was seen trading at the level of around $66,000. Uncertainty over tariffs has increased volatility in global financial markets, and investors are currently adopting a cautious stance.
Why uncertainty in the market
The major reason for the latest decline in the American market is believed to be President Donald Trump’s announcement of imposing 15 percent global tariff. The relief and boom that was seen in the market after the decision of the Supreme Court of the United States, was completely overturned by Trump’s new announcement. Investors fear that widespread tariffs will increase prices of imported goods, which could put pressure on inflation and corporate costs. This is the reason why the market sentiment suddenly became negative.
It is being told that Trump has used Section 122 of the Trade Act of 1974 to impose 15 percent global tariff on countries around the world. Crude oil prices have also increased due to increasing tension between America and Iran. West Texas Intermediate (WTI) is trading at $ 66.99 per barrel, up 0.77 percent. Brent Crude rose 0.71 percent to $ 71.16 per barrel. This surge in oil prices may further increase the concern of global inflation, due to which there is a possibility of instability in the stock markets.
Also read: Stock market crashes due to selling of IT shares and global cues; Sensex fell 1100 points, know the reason for the fall
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