Global stock markets fell sharply as investors reacted to former President Donald Trump’s sweeping new tariffs, sparking renewed fears of a prolonged trade conflict. Analysts cautioned that the true impact of these tariffs has yet to be felt, with significant economic repercussions expected to unfold in the months ahead.
“These taxes do not show up in consumer baskets with full force until January next year,” UBS analysts noted, warning that the delayed effects could weigh heavily on consumer spending and corporate earnings.
The tariffs, aimed at a broad range of imports, have rattled investor confidence and raised concerns over rising costs for businesses reliant on global supply chains. Economists warn that sustained tariff pressure could slow global trade growth and heighten inflationary risks, forcing central banks to reassess monetary policies.
As markets continue to react, analysts emphasize that uncertainty over trade policy and retaliatory measures from affected countries could trigger further volatility, with some describing the current environment as a “tipping point” for global commerce and investment sentiment.
