Global Financial Markets Plunge Amid U.S. Political and Trade Turmoil

Wall Street Suffers Major Losses

U.S. stock markets faced sharp downturns:

• S&P 500 fell by 2.8%;

• Dow Jones Industrial Average dropped 1,062 points (2.7%);

• Nasdaq Composite declined 3.2%.

Technology stocks were particularly affected, with Tesla down 7% and Nvidia falling 5.6%, amid concerns over U.S. chip export restrictions to China.

Political Factors Fuel Market Anxiety

Investor confidence has been shaken by President Trump's renewed criticism of Federal Reserve Chairman Jerome Powell, including calls for Powell's immediate removal over the

Fed's cautious stance on tariffs and interest rate policy.

Trump's aggressive trade policies — including sweeping tariffs and escalating tensions with China — have further fueled volatility and selloffs.

Currency and Commodities React

The U.S. dollar weakened against major currencies, reaching a three-year low. In contrast, the British pound rose 1.3% against the dollar.

Meanwhile, gold surged to a record high of $3,403.90 per ounce, as investors sought safe-haven assets amid rising uncertainty.

Global Impact

Most Gulf stock markets ended lower on Monday, influenced by the resurfacing of U.S. tariff concerns and the erosion of investor confidence.

These developments underscore the heightened uncertainty in global financial markets, as investors respond to shifting economic policies and geopolitical tensions.