US Markets Crash Again After Trump Reverses Tariff Pause, Tech Stocks Tumble

Less than a day after US President Donald Trump attempted to calm markets by pausing his aggressive tariff agenda, Wall Street took another beating as the White House backtracked, confirming a sharper-than-expected increase in duties on Chinese imports. On Thursday, markets swung wildly before closing sharply lower, with fears of a global recession back on the table.

Tariff turmoil triggers selloff
Markets tumbled after the Trump administration announced that levies on Chinese goods would be raised to 145%, instead of the previously floated 125%. The Dow Jones Industrial Average plunged over 2,100 points at its session low before recovering slightly to close down 1,014 points, or 2.5%. The S&P 500 fell 3.46%, and the Nasdaq Composite dropped 4.31%, led by a heavy selloff in tech.

Tech Stocks Down
High-growth tech names were among the worst hit. Tesla slumped 8%, Apple dropped over 4%, while Nvidia and Meta each slid nearly 7%. The 10-year Treasury yield, closely watched amid bond market turbulence, remained relatively unchanged at 4.39%.

Tariff structure at a glance:
145% duty on all Chinese imports
25% tariffs on aluminium, autos, and non-USMCA goods from Canada and Mexico
10% levy on all other imports

Rebound erased
The losses reversed a significant portion of Wednesday’s dramatic rally, when the S&P 500 soared over 9% — its third-biggest single-day gain since World War II. The Dow saw its largest percentage increase since March 2020, while the Nasdaq marked its second-best day on record.

Read More 
US Market Bloodbath Worsens as China Strikes Back with 34% Tariffs on American Goods


Asia-Pacific rallies amid selective optimism
Despite Wall Street’s reversal, Asia-Pacific markets surged on Thursday as investors hoped that the renewed tariffs would remain China-specific. Japan’s Nikkei 225 led the charge, jumping 9.13% to 34,609, with the Topix up 8.09%.

South Korea’s Kospi climbed 6.60%, while the Kosdaq rose 5.97%. Australia’s S&P/ASX 200 ended 4.54% higher, and Hong Kong’s Hang Seng Index gained 2.06%. Mainland China’s CSI 300 edged up 1.31%.