Asian stock markets tumbled on Monday and European and U.S. equity futures pointed sharply lower after President Donald Trump’s tariffs on Canada, Mexico and China raised fears of a broad trade war and a hit to global growth while the Canadian dollar and euro weakened.
The U.S. dollar shot to a record peak against the Chinese yuan in offshore trading, its highest against Canada’s currency since 2003 and the strongest against the Mexican peso since 2022.
Japan’s Nikkei share average tumbled 2.9% and Australia’s benchmark – often a proxy trade for Chinese markets – dropped 1.8%.
Stocks in Hong Kong, which include listings of Chinese companies, fell 1.1% upon reopening from the Lunar New Year holidays. Mainland Chinese markets resume trading following the holidays on Wednesday.
Pan-European STOXX 50 futures sank 2.7%, and U.S. S&P 500 futures dropped 2%.
Trump slapped Canada and Mexico with…
