4E: Aggressive tariff policies hit U.S. stocks and crypto markets hard, global recession fears intensify

On April 4th, according to 4E monitoring, Trump's far more aggressive tariff plan than the market expected has triggered strong concerns among investors about the full outbreak of the trade war and the resulting economic recession. All three major US stock indexes closed sharply lower on Thursday, with the Nasdaq index falling 5.97%, the largest one-day decline since March 2020; the S & P 500 fell 4.84% and the Dow fell 3.98%, both the largest one-day losses since June 2020. Large technology stocks fell sharply, as tariffs are likely to hit the supply chain, Apple plummeted more than 9%, and the market value of the seven giants "Manificant 7" evaporated about $1 trillion a day, and the total market value fell to the lowest level since early August last year.
The crypto market fell across the board. Bitcoin has fallen below $81,000 since its peak of $88,000 before the announcement of tariffs. Although the decline is large, it is still relatively strong compared to technology stocks. All sectors of the market generally fell sharply, and the market value of the overall crypto market fell by nearly 8%. The crypto fear and greed index, which recovered in March, fell back to the "extreme fear" range.
Trump tariffs have caused financial marekts to collapse. The March non-farm payrolls report will be released tonight. The labor market is expected to remain stable until import tariffs may affect the data. The market focused on Powell's speech. According to CME Group's FedWatch tool, traders' pessimism about the outlook for the US economy has greatly increased the probability of the Federal Reserve's emergency interest rate cut. The number of interest rate cuts this year has increased from two a month ago to four.