Asian Markets Tumble Amid Trump Tariff Turmoil

Asian stock markets plunged as US President Trump's new tariffs sparked fears of a trade war. The tariffs impacted major indices like Nikkei and Hang Seng. There is concern over global trade disruption, with experts predicting safe-haven assets as refuges during this economic firestorm.

Asian stock markets experienced significant declines on Monday following US President Donald Trump's announcement of new tariffs. The US has imposed a 25% tariff on imports from Canada and Mexico and a 10% tariff on Chinese goods, which will be implemented on Tuesday.

The announcement caused investor panic, resulting in a steep drop in major Asian stock indices. Japan's Nikkei 225 plummeted over 2.27%, while Hong Kong's Hang Seng fell 2.07%. Taiwan's weighted index recorded the largest fall, dropping 3.74%, and South Korea's KOSPI decreased by 2.87% as reported.

Indian stock futures were also negatively impacted, with Nifty futures down 0.83%. Concerns about a potential trade war have led to widespread selling, with investors worried that tariffs could hamper global trade, adversely affecting businesses and consumers alike.

Market expert Ajay Bagga commented that a 'doom loop' is beginning for global economies amidst Trump's aggressive tariff measures. There is a growing belief that safe-haven assets like gold, Swiss franc, and Yen are the few refuges in this turbulent market environment.

Analysts observed that following the stock downturn, further consequences include competitive currency devaluation by exporters, notably China, and increased goods dumping as the Chinese economy grapples with overcapacity. The anxiety surrounding Trump 2.0's policies remains central for markets, with prices on the rise amid ongoing firestorms.

Asian markets are highly sensitive to US policy changes, particularly those affecting trade. China's pivotal role in supply chains means tariffs could escalate prices and lead to market disruption. As of now, selling pressure persists in most Asian markets.

(With inputs from agencies.)