US Stocks Decline On Downturn Fears Due To Tariffs, Recession Fears

US stock futures fell sharply on March 31 as investors reacted to concerns over the Trump administration’s upcoming tariff announcement on April 2, which could impact the global economy. The US stock market is about to conclude its worst quarter compared to the rest of the world since the 1980s. 

The stocks plummeted and treasuries continued to rise as Donald Trump, on Monday, reiterated that tariffs will be imposed on ‘all the countries’, defying speculations that there could be a phased rollout of tariffs on different countries starting April 2.

US Markets Fall Amid Recession Fears Triggered By Trump's Tariff Threats

The market opened sharply lower. At the time of this report, the S&P 500 was down 1.3 per cent, while tech-heavy NASDAQ was down 2.3 per cent. Dow Jones Industrial Average fell by 273 points or 0.6 per cent. 

Global markets are waiting for US President Donald Trump 's 'liberation day' announcements, wherein he has promised to impose reciprocal tariffs on countries across the world. He has already announced a 25 per cent tariff on cars not made in the US. 

The crash in the stock market follows President Trump’s statement that new reciprocal tariffs, set to be announced this week, will apply to all nations. Investors fear these measures could retard economic growth and increase inflation, claimed Reuters

Tech stocks led the decline, with Nvidia declining 3.8 percent, Microsoft down 1.4 percent, and Tesla falling 5 percent. The CBOE Volatility Index (VIX), a key market fear gauge, hit a two-week high.