On April 7, 2025, U.S. stocks experienced significant volatility due to rumors of tariff negotiations under President Trump, with the Dow initially rising nearly 900 points before closing down 349 points as the White House dismissed the rumors. This turmoil reflected investors’ anxiety over ongoing trade tensions, with the S&P 500 falling into bear market territory after a 20% decline from its peak. Trump’s proposed tariffs, particularly a 50% levy on China, and uncertainty about the administration’s stance on negotiations heightened instability, leading to notable declines in global markets, including Europe and Asia. Despite some offers from the EU to negotiate, the overall market remained unsettled, prompting analysts to caution about recession risks and calling for continued pressure on the Trump administration amid economic uncertainty.
