President Donald Trump’s sweeping new tariffs—reaching as high as 41% on certain imports—have sparked a wave of mixed global reactions and stirred unease in financial markets.
While some countries expressed relief after negotiating last-minute deals or reducing the impact of the initial April rates, others voiced frustration over failing to meet the administration’s strict August 1 deadline.
“This tariff tsunami from Trump is now becoming real, and we’re beginning to see the true economic impact,” said Dan Ives, senior equity analyst at Wedbush Securities.
“When you pair that with softer economic data, markets are understandably jittery.”
Though Wall Street’s initial response was muted, Asian markets reacted more sharply. South Korea’s Kospi plummeted nearly 4% after tariffs on U.S.-bound exports from the country were set at 15%.
Currency markets also reflected concern, with the U.S. dollar falling below 150 yen amid growing uncertainty.
Investor anxiety was further fueled by a dismal U.S. jobs report.
The Labor Department revised down job growth figures for May and June, slashing a combined 258,000 jobs from previously reported totals—adding to fears of a slowdown in the world’s largest economy.
As global markets process the dual blow of protectionist policy and economic weakness, analysts warn of more volatility ahead.
