The US stock market has witnessed a huge collapse due to a vague comment by US President Donald Trump. The wave of instability that started on Wall Street also hit the Indian stock market on Tuesday. Within minutes of the market opening, the Sensex fell by about 400 points, which increased concerns among investors.

In an interview given to an international media outlet last Sunday, Trump announced the imposition of additional tariffs on goods imported from Canada, Mexico and China. He said, “We are going through a period of change. What we are doing is huge. We are restoring American wealth.” However, due to his failure to give any details about this new tariff policy, a cloud of uncertainty has started to gather in the global market.

Shock on Wall Street
After Trump’s announcement, there has been fear of an economic recession among US investors. Wall Street saw a major decline on Monday. The Nasdaq index reached its lowest level since 2022, and the S&P 500 index also fell significantly. The decline in the share prices of well-known companies such as Tesla, Meta, and Amazon has spread panic among investors.

Impact on global markets
The impact of the collapse was not limited to America. Similar declines were also seen in stock markets in Japan, South Korea, Australia, and Europe. The 400-point fall in the Sensex after the market opened in India on Tuesday morning indicates the impact of Trump’s policies on the global economy.

Expert opinion
Economic experts believe that Trump’s tariff policy could create new tensions in global trade. One analyst said, “If trade tensions with countries like China, Canada, and Mexico start, it will affect supply chains and investments. This could put further pressure on the global economy.”

What’s the future?
With no clarity yet on how Trump’s comments and policies will be implemented, you can set the volatility in the market by using either Ascending or Descending. If you don’t set a trend, the default is Ascending.

Global markets are currently looking to the Trump administration for further stability. Investors and economists are concerned that this uncertainty could lead to a bigger shock to the stock market if it is not resolved quickly.