Wall Street Plunges as Trump Policies Ignite Recession Fears

U.S. Markets witnessed panic selling on Monday after Recession Fears

March 11, 2025: 📉 Key Takeaways:

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S&P 500 down 2.7%, marking its worst daily percentage drop since December.
Dow Jones falls 2%, its lowest since Trump’s re-election campaign kicked off.
Nasdaq crashes 4%, confirming a correction with a 10%+ drop from December highs.
Tesla stock plunges 15.4%, Nvidia down 5%, with Meta, Amazon, and Alphabet also tanking.
US Treasury yields drop sharply as investors flee to bonds.
Oil prices sink, gold slips, and Bitcoin nosedives nearly 5%.

🔥 What Triggered the Market Sell-Off?

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The sharp global stock market sell-off was fueled by President Donald Trump’s recent remarks, where he did not rule out a recession triggered by his tariff policies. Investors reacted negatively to:

🔹 Uncertain Trade Policies: Trump’s tariffs on Mexico, Canada, and China sparked fears of reduced consumer spending and lower corporate investments.
🔹 Weak US Economic Data: Recent reports indicated a slowdown in job growth, leading to fears of economic contraction.
🔹 Bond Market Warnings: US Treasury yields fell, signaling a shift toward safe-haven assets.

📉 Market Reaction: Stocks, Bonds, Commodities, and Crypto

Also Read: Tesla Stock Crashes 15%, Worst Drop Since 2020 – Here’s Why

📊 Stock Market Performance

🔻 S&P 500: -2.7% (worst drop since December)
🔻 Dow Jones: -2% (lowest since November)
🔻 Nasdaq: -4% (biggest one-day loss since 2022)

🚨 Tech Stocks Hit Hard
🔻 Tesla: -15.4% (worst drop since 2020)
🔻 Nvidia: -5%
🔻 Amazon, Meta, Alphabet: Sharp declines

📉 Global Markets in Red

🌏 Asian Stocks:
🔻 Japan’s Nikkei 225: -2.5%
🔻 South Korea’s Kospi: -2.3%
🔻 Australia’s S&P/ASX 200: -1.8%

🇪🇺 European Markets:
🔻 STOXX 600: -1.29%

💰 US Treasury Yields Fall

📉 2-Year Yield: -10.4 bps to 3.89%
📉 10-Year Yield: -9.3 bps to 4.22%
📉 30-Year Yield: -6.9 bps to 4.54%

🛢️ Commodities Take a Hit

🔻 Oil Prices:
💲 WTI Crude: $66.03 (-1.51%)
💲 Brent Crude: $69.28 (-1.53%)

🔻 Gold Prices:
💰 Spot Gold: $2,885.63 (-0.86%)
💰 Gold Futures: $2,882.70 (-0.76%)

🔻 Copper: $9,493.00 (-1.25%)

💸 Cryptocurrency Bloodbath

🔻 Bitcoin: $79,028 (-4.88%) (lowest since November)

📉 What’s Next?

🚨 Investors Await Key US Inflation Data – A high CPI print could force the Fed to keep rates higher, worsening market fears.
🌎 Global Recession Risks Rise – Asian and European markets already reacting negatively.
💼 Corporate Earnings in Focus – Companies may lower forecasts due to weak demand and policy uncertainty.

📢 Will Trump’s policies push the US into recession, or is this a temporary market correction? Stay tuned for more updates! 🚀📉

Misha Bhatia