Market Turmoil: Tech Stocks Lead Plunge Amid Recession Fears

U.S. stocks experienced a significant downturn as tariff-related tensions and government shutdown fears heightened recession concerns. The S&P 500 and Nasdaq faced their steepest declines in months, especially in tech stocks, influenced by global economic pressures, including rising Japanese bond yields and China's retaliatory tariffs.

On Monday, U.S. stock markets suffered a dramatic downturn, fueled by incessant tariff disputes and apprehensions about an impending federal government shutdown, raising alarms over a potential economic recession in the U.S.

The day's trading session saw major indexes like the S&P 500 suffer their largest single-day declines since December, while the Nasdaq's significant downturn, dropping 4%, marked its steepest fall since September 2022, particularly as tech stocks bore the brunt of the selloff.

Meanwhile, escalating geopolitical and economic pressures, from the unwinding of yen carry trades to expected tariff implementations on U.S. and Chinese goods, exacerbated the market's instability, compelling investors to risk-averse positions amid uncertainty over possible recessive trends.

(With inputs from agencies.)