4E: The threat of escalating tariff wars outweighs slowing inflation, causing both US stocks and crypto markets to decline

On April 11, according to 4E monitoring, the threat of escalating Sino-US tariff wars overwhelmed the good news of slowing inflation, and investor concerns prevailed. US stocks failed to hold on to Wednesday's big rally. The three major stock indexes fell at least 5% intraday on Thursday, and the late decline narrowed. By the end of the day, the S & P 500 index closed down 3.5%, and the first-tier circuit breaker, which fell 6.3% and nearly 7%, was the largest intraday decline since March 2020. The Nasdaq fell 4.31% and the Dow fell 2.5%. Large technology stocks fell collectively, and the Big Seven index fell 6.67%.
The strong rebound in the crypto market followed the sharp turnaround of US stocks last night. Bitcoin fell all the way from $82,000 to a minimum of $78,464, almost giving up all the gains of the previous day. The current report is $80,258, down 2.67%. Among the top ten mainstream coins, Ethereum performed the weakest. Affected by factors such as the sell-off of giant whales and the decoupling of sUSD, it once lost $1,500, and it was reported at $1,541 before the deadline, down 6% in the past 24 hours.
The latest data showed that the US CPI in March was lower than expected across the board, but the full impact of tariffs has not yet been revealed, which will reassure investors in the future. Expectations of strains in global supply chains have intensified as Trump's chaotic tariff policy continues to roil markets, sparking broader fears of a recession. Markets are skeptical that a 90-day tariff moratorium will lead to substantive negotiating results.