Global markets plunged Monday as President Trump stood firm on tariffs, deepening investor fears of a drawn-out trade war. The S&P 500 was set to open about 2% lower, bringing it closer to bear market territory after weeks of steady losses. Wall Street braced for more volatility, with analysts warning there’s still no sign of stability.

What to Know:

• Trump said Sunday he would not lift tariffs “unless they pay us a lot of money.”
• On Truth Social, he wrote this morning: “There is NO INFLATION,” and the U.S. is “bringing in Billions… from the abusing countries.”
• Hong Kong’s stock index fell over 12%; Taiwan’s dropped nearly 10%.
• The Stoxx Europe 600 was down 4% as concerns spread across Europe.
• Oil prices briefly dipped below $60, their lowest level since 2021.
• Bitcoin slid 10% to under $78,000, reflecting market-wide unease.
• China raised tariffs by 34% and warned it’s prepared for a long fight.
• Deutsche Bank analysts noted “no sign yet” of a market bottom.

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Trump touts tariffs and downplays inflation

Trump defended his trade policies in a Truth Social post, saying that tariffs are bringing in “Billions of Dollars a week” and insisting there is “NO INFLATION” despite growing economic concerns.