Global Markets Shaken by U.S. Tariffs and German Coalition Talks

Major stock indexes fell as the U.S. announced heavy tariffs on Chinese imports, while European markets saw gains amid reports of a German coalition deal. Concerns over a global trade war and potential recession led to market volatility, affecting stocks, oil, and gold prices.

Major stock indexes dropped on Tuesday as the U.S. confirmed that 104% tariffs on Chinese imports will soon take effect, raising fears of a global trade conflict. However, European markets gained strength following reports of a political coalition agreement in Germany.

Despite the optimistic start, it was later reported that no definitive agreement had been reached on the German coalition. The prospect of the U.S. negotiating on some tariffs initially buoyed investor confidence, but markets ultimately faced pressure.

Wall Street saw significant declines, with the Dow, S&P 500, and Nasdaq all experiencing losses. Oil prices also fell due to recession concerns spurred by U.S.-China tensions, while investors anticipate upcoming U.S. earnings reports as a potential market stabilizer.

(With inputs from agencies.)