Asian Stocks Tumble Amid Trade War Fears: Trump's 104% Tariff on China Triggers Market Downturn

Asian stock markets experienced a significant downturn following a decline on Wall Street, spurred by President Trump's imposition of a 104% tariff on Chinese goods on April 9, 2025. This action heightened concerns about a global recession, leading to a sharp fall in oil prices. The S&P 500 reversed course, dropping 12% over four days, marking its most significant four-day loss since the 1950s. China's blue chips experienced a 1.2% decline, while Hong Kong's Hang Seng index plummeted 3.1%. Japan's Nikkei also fell by 3.5%. The onshore Chinese yuan weakened, with the People's Bank of China setting the midpoint at 7.2066 per dollar, the weakest since September 2023. Brent crude futures plunged 3.9% to $60.36 a barrel, and U.S. crude futures tumbled 4.4% to $56.96 per barrel. The benchmark 10-year yield rose 5 basis points to 4.335%, while two-year yields fell 6 bps to 3.665%.