Global Markets See Worst Drop Since 1997 Mimicking Black Monday Like Crash, Crude Oil Tumbles

On Friday, April 4th, U.S. markets closed sharply lower, marking Wall Street’s second consecutive day of steep losses. The Nasdaq officially entered a bear market, while the Dow slipped into correction territory amid intensifying global trade tensions.

President Trump’s sweeping tariffs sparked fears of a global recession, erasing trillions in market value. Investor panic surged as volatility spiked, and world leaders scrambled to coordinate responses to the escalating trade conflict.

In economic data, March U.S. nonfarm payrolls jumped by 228,000, beating forecasts and the recent average. February’s figure was revised down to 117,000. Unemployment rose slightly to 4.2%, against expectations of no change. Average hourly earnings grew 0.3% month-over-month and 3.8% year-over-year, just below the 3.9% forecast.

Most S&P 500 sectors fell Friday, led by financials, energy, and tech, amid heightened volatility, while consumer staples rose as investors turned to defensive assets.

Also Read: Stock Futures Tank, Dow Sheds Over 1000 Points As White House Remains Firm On Tariffs: Trump Says, ‘Sometimes You Have To Take Medicine      

The Dow Jones Industrial Average tumbled 5.5% to 38,314.86, while the S&P 500 dropped 5.97% to 5,074.08. The Nasdaq Composite also fell sharply, losing 5.82% to close at 15,587.79.

Asia Markets Today

• On Monday, Japan’s Nikkei 225 closed the session lower by 7.68% at 31,187.50, hitting a 1.5-year low, as fears of a global recession from Trump’s new tariffs triggered a broad selloff, especially in banks and chip-related stocks.
• Australia’s S&P/ASX 200 was down 4.23% and closed at 7,343.30, led by losses in the Energy, IT, and Consumer Discretionary sectors.
• India’s Nifty 50 was down 2.84% to 22,252.90, and Nifty 500 declined 3.07% to 20,164.35.
• China’s Shanghai Composite fell 7.34% to 3,096.58, and Shanghai Shenzhen CSI 300 declined 7.05% to 3,589.44.
• Hong Kong’s Hang Seng Index plummeted 13.2% to 19,828.30, marking its worst single-day drop since 1997. Escalating U.S.-China tariffs intensified trade war fears, sparking a broad selloff in tech and growth-linked sectors and roiling global markets.

Eurozone at 05:45 AM ET

• The European STOXX 50 was down 5.63%.
• Germany’s DAX declined 5.84%.
• France’s CAC 40 fell 5.76%.
• U.K.’s FTSE 100 index traded lower by 4.74%.
• European markets tumbled as Trump’s unwavering tariff stance and rising U.S.-China tensions deepened fears of a global recession. Already grappling with weak industrial data, Europe faced added pressure from looming EU retaliatory tariffs and sharp losses in banking and energy stocks.

Commodities at 05:45 AM ET

• Crude Oil WTI was trading lower by 3.89% at $59.58/bbl, and Brent was down 3.67% at $63.16/bbl.
• Oil prices fell as U.S.-China trade tensions stoked recession fears, weakening demand outlook. Additionally, Saudi price cuts and OPEC+ plans to boost output intensified pressure on crude benchmarks.
• Natural Gas slid 3.08% to $3.719.
• Gold was trading higher by 0.21% at $3,041.50, Silver was up 3.22% to $30.170, and Copper fell 1.28% to $4.3420.
• Gold prices fell to a three-week low as investors liquidated positions to cover losses from a broader market selloff, which was driven by Trump’s sweeping tariffs and rising global recession fears despite gold’s safe-haven status.

U.S. Futures at 05:45 AM ET

Dow futures were down 3.05%, S&P 500 futures declined 3.13%, and Nasdaq 100 futures slid 3.46%.

Forex at 05:45 AM ET

The U.S. Dollar Index declined 0.11% to 102.88, USD/JPY was down 0.59% to 146.03, and USD/AUD gained 0.54% to 1.6626.

Photo by Skorzewiak via Shutterstock