Trade Tensions Resurface: New Tariffs Shake Global Markets

Global markets faced volatility as U.S. President Donald Trump introduced a new 15% tariff following the Supreme Court's ruling against his prior global levies. The situation reignited fears of 'sell America' trades, leading to a drop in Wall Street futures and the dollar.

Gold and safe-haven currencies, including the yen and Swiss franc, saw gains amid the uncertainty. European stock futures slid as investors assessed the potential implications for international economies. Meanwhile, Hong Kong's stocks surged, anticipating reduced U.S. tariffs on China.

The average effective tariff rate, recently adjusted to 13.7%, highlights an uncertain economic horizon. Experts suggest the new tariffs could prompt a cycle of implementation and repeal, posing challenges to stability in the markets.