US stock markets plummeted, sending the S&P 500 index below a key threshold that marks a 10% correction. The move comes after President Donald Trump vowed to impose a 200% tariff on EU wine, escalating trade tensions with Europe.
A recent inflation report sparked optimism among investors, but Trump’s latest threats have doused hopes for economic growth. Instead, investors are flocking to safer assets like Treasuries, driving up their prices.
Despite some buyers stepping in to snap up discounted shares, the US equity market has lost over $5 trillion since its February peak. Big tech stocks took a hit, dragging the overall market down 1.5%. The VIX, a gauge of investor anxiety, remains near record highs, indicating widespread fear on Wall Street.
Source: https://www.bloomberg.com/news/articles/2025-03-12/stock-market-today-dow-s-p-live-updates