6 Trillion Lost: US Equity Markets Reel Under Trump’s Tariff Blitz

Trump’s announcement of new tariffs triggers an International Market Crash

International Market Crashes after Trump imposed new tariffs on its trading countries. US President Donald Trump announced the imposition of these tariffs during a trade announcement event on April 2, causing global market meltdown. Trump set the benchmark as 10%, while Vietnam faces 46% tariffs.

The US Equity Markets also plunged as it lost more than $6 trillion in value. S&P 500 are down by 1.7%, while the Naqsad futures are down by 5.82%.

Despite the market crash, Trump stood firm in his decision and said, “Sometimes you have to take medicine to fix something.” Trump’s recent post garnered attention as he mentioned that “there is no inflation” and Fed should “cut their rates.”

He also highlighted that US is bringing in billions by imposing sweeping tariffs. Trump named China as its “biggest abuser” as it raised it’s tariffs by 34% and blamed the formal leaders for allowing other countries to “take advantage of the US.”

The Dow Jones Futures are down 2339 so far and Trump is out golfing with foreign oligarchs telling families losing their savings to “hang tough.” pic.twitter.com/9kXMrRiWk7

— Melanie D'Arrigo (@DarrigoMelanie) April 6, 2025

JPMorgan CEO Jamie Dimon warned, the imposition will escalate prices in the US in the short-term and can there is a risk of great damage to the global economy in the long-term. Dimon also suggested that these issues must be resolved quickly.

“The quicker this issue is resolved, the better because some of the negative effects increase cumulatively over time and would be hard to reverse.” Dimon wrote. Hedge Fund Billionaires Bill Ackman and Stanley Druckenmiller criticized Trump for the decision and called it a “mistake.”

Amid the imposition, Vietnam has ordered a 45-day negotiation. While China accused the US of its one-sided measures, through tariffs. China requested Tesla and other American Executives to step forward and address the tariff situation. While US referred to China’s tariffs as “ridiculously high” in his post, there’s a sense of trouble and war.

Following the announcement, traders ramp up bets on Federal Reserve cut rates. Bill Dudley, Former president of New York fed said,

“Don’t expect the Federal Reserve to rescue the US economy from the epic tariffs… The only question now is how bad the damage will be.” He wrote. Trump also mentioned in his post, “Fed should cut their rates.” Trump previously asked Federal Reserve Chair to cut down interest rates.

Trump mentioned it was the perfect time to cut down the interest rates as energy prices and inflation is down and jobs are up. Jerome’s prime concern is inflation, he mentioned the tariffs are larger than expected.

Amid this chaos. Trump is expected to speak with Japan’s Prime Minister Shigeru Ishba, according to local media as Japan remains the US’s ally. The tariffs issue may impact the price level and also attract global war, especially with China. However, Trump’s persistence can cause trouble and impact the global market.