The world’s stock markets fall while new Trump prices are looming | Stock markets

Stock markets around the world fell on Monday after Donald Trump suggested that the new prices he should announce this week would strike “all countries”.

Actions have dropped on the Asia-Pacific and Europe markets after the American president crushed the hope that the “reciprocal prices” expected on Wednesday would target countries only the largest commercial imbalances with the United States.

Trump told journalists on Air Force One: “You would start with all countries. Essentially countries we are talking about.”

These import prices in the United States are expected to be announced on Wednesday, which was described as “release day” by Trump.

On Monday, the threat of a business war development frightened investors. In Toyko, the Japanese Nikkei index lost 4% and Kospi in South Korea dropped by 3%.

The wave of sellers swept the European markets – the FTSE 100 of the United Kingdom dropped by 0.9% to a two -week low, and the German Dax and the CAC of France have both lost more than 1%.

“A wave of sales is sweeping into the world markets,” said Jochen Stanzl, chief market analyst at CMC Markets. “The prices imposed by the American government and the fear of new announcements on Wednesday creates a dark atmosphere on trade soils in the world.”

Gold reached a new record of $ 3,128 (£ 2,416) per OCE, while investors rushed into security assets before Trump’s last rates.

Economists fear that the addition of prices on imported goods will increase American inflation as importers have repercussions to customers, and also affect confidence. Last Friday, data showed that consumers’ feeling across America has dropped sharply this month, at its lowest level since 2022, bringing actions in New York.

Goldman Sachs has now increased his estimate of the probability of an American recession in the next 12 months to 35%, against 20% before, and warned that this would generally lead to new losses to Wall Street.

“The play book of the recession of the historic equity market implies a draw of around 25% S&P 500 compared to the recent peak of the market. If it was followed, this model would suggest an additional 17% draw of today’s price at a level of hollow of around 4,600,” Goldman analysts told customers.

Swiss Bank UBS has reduced its forecasts for where the S&P 500 index of American shares will end up by the year, from 6,600 points to 6,400.

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However, Mark Haefele, investment director at UBS Global Wealth Management, added: “It also means that there is still a significant advantage for the vast American actions in our opinion, in our opinion.”

The fears of the trade war harmed the markets in March, a month in which Trump announced new prices of 25% on automotive imports. A global stock index produced by MSCI fell 4.5% this month, with a day to do, its worst monthly performance since September 2022.

The US dollar has also experienced its worst month in more than two years, having dropped by 3.5% compared to a basket of other currencies in March.

During the weekend, Trump said that he “didn’t care” if we, the manufacturers increased their prices due to the new rates.

Stephen Innes, managing partner at SPI ASSET Management, said that money managers around the world were “desire” portfolios or simply sit on their hands.

“Investors do not only react on the fly of initial automotive prices and unknowns around reciprocal rates – real tremors arise from the potential effects of the second order of a slower trade war: slower global growth, the Capex Criminated (capital expenses), and the Innes have declared.