The U.S. stock market has experienced wild volatility following President Donald Trump’s sweeping tariff announcements, with the S&P 500 Index ($SPX) plummeting nearly 12% since the April “Liberation Day” declaration. Even traditional “safe haven” assets have been caught up in the selling pressure, with the front-month gold futures contract (GCJ25) down by 2.6% over the past week.
Despite the potential for a sharp bounce, with many equity benchmarks now deeply oversold, overall investor sentiment remains cautious - especially given China’s combative stance against additional U.S. tariffs. The Cboe Volatility Index ($VIX) has soared above 50 as investors grapple with both the direct impact of the baseline 10% tariff on most imports and escalating global trade tensions.
