Global markets today: Nikkei, Hang Seng to KOSPI — Asian stock markets open lower on Trump’s tariffs

Asian markets opened lower this morning as investor risk appetite weakened due to the White House moving forward with broad tariffs on trading partners, including a steep 104% duty on China. Meanwhile, U.S. Treasury yields continued to climb.

Indian benchmark indices Nifty50 and Sensex edged down on Wednesday, mirroring a global market decline driven by escalating trade tensions and anticipation of the Reserve Bank of India’s upcoming policy decision on a possible interest rate cut.

As of around 9:30 am, the BSE Sensex slipped by 403 points (0.54%) to 73,823, while the Nifty50 fell by 146 points (0.65%) to 22,389.

Japan’s Nikkei has continued its losing streak, now down more than 3.5%, while South Korea’s Kospi has officially entered bear market territory after dropping 20% from its July high.

In Japan, technology stocks were the main drivers of the market decline, with chip-testing equipment manufacturer Advantest (6857.T) falling 9% and chip-making equipment producer Tokyo Electron (8035.T) dropping 4.85%.

The intensifying trade war — highlighted by Trump increasing tariffs on China to 104% — is fueling worries about a potential global recession. Investors are increasingly uneasy, fearing disruptions in the financial system as market volatility and stress continue to rise worldwide. This has led to growing speculation that the Federal Reserve might be forced to accelerate interest rate cuts, despite ongoing concerns about inflation.

US markets today

Wall Street experienced another turbulent session on Tuesday as escalating trade tensions between the US and China triggered sharp market fluctuations. The S&P 500 ended the day down 1.6%, bringing it close to entering bear market territory, despite earlier posting its strongest rally since 2022.

The S&P 500 dropped sharply on Tuesday, closing below the 5,000 mark for the first time in nearly a year. This decline erased a strong morning rally, as investor optimism waned over the possibility of the U.S. postponing or easing tariffs before the midnight deadline.

“Although liquidity has deteriorated in many markets, markets have generally remained functional and there are few signs of funding stress. But the size of recent asset shifts means that we are monitoring potential areas of financial stress more closely,” said Goldman Sachs Group Inc. strategists Dominic Wilson and Vickie Chang, in a note late Tuesday.

(With inputs from agencies)

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