Market Turbulence: Stocks Plummet and Dollar Soars Amid Economic Uncertainty

Stock markets saw a significant downturn on Tuesday as prominent bank CEOs cautioned about an imminent market pullback. The dollar reached a four-month high against the euro, causing a flight to safety in U.S. Treasuries, driving yields downward.

Bitcoin plummeted over 6%, sliding below $100,000, coinciding with a warning from banking heads in Hong Kong about a potential 10% stock market correction. Semiconductor stocks, including Nvidia, faced downturns, with AI fast adoption benefiting some like Palantir despite its earnings drop.

The energy market also reflected economic strains, with oil prices slipping as the dollar's strength persisted. The U.S. shutdown delayed key job reports, and gold dipped significantly, reflecting the broader financial instability reverberating across global markets.