Global stocks plunge due to US auto tariffs

Traders work on the stock exchange floor in New York, USA. (Photo: THX/TTXVN)

Most global stock markets fell on March 26, as investors awaited an announcement on auto tariffs from US President Donald Trump.

In New York, all three major indexes closed in the red while the CBOE Volatility Index - Wall Street's "fear" gauge - rose 7%, reflecting market jitters.

Specifically, the Dow Jones industrial average fell 0.3% to 42,454.79 points at the close. The S&P 500 composite index fell 1.1% to 5,712.20 points and the Nasdaq Composite technology index fell 2.0% to 17,899.02 points.

In Europe, major stock indexes also mostly fell. The CAC 40 index in Paris (France) fell 1.0% to 8,030.68 points and the DAX index in Frankfurt (Germany) fell 1.2% to 22,839.03 points.

In contrast, London's FTSE 100 index (UK) rose 0.3% to 8,689.59 points after news that the country's annual consumer inflation fell from 3.0% in January to 2.8% in February.

Peter Cardillo, an expert at financial services firm Spartan Capital Securities, said the situation is a continuation of concerns about tariffs and their impact on the economy.

US President Donald Trump on March 26 announced his decision to impose a tax of up to 25% on imported cars - something he has long promised to US voters.

Markets closed before the tariff announcement was made official, leading to a sell-off in shares of several auto companies including General Motors and Tesla.

Auto industry experts predict the tariffs will push up car prices and stifle production in the industry.

As the White House's "Liberation Day" set for April 2 approaches, investors are bracing for a wave of sweeping tariffs on imports amid warnings of weakening global trade, a new surge in inflation and even a potential recession.

President Donald Trump has repeatedly made tough statements about imposing broad tariffs, alternating with suggestions that he might allow some exemptions so that American consumers don't bear the full impact of the tariffs on prices.

This has led to US consumer sentiment falling to its lowest level since 2021 as they anticipate higher prices.

In Vietnam, at the end of the trading session on March 26, the VN-Index decreased by 5.83 points to 1,326.09 points. The HNX-Index decreased by 3.23 points to 241.33 points./.

Source: https://baolangson.vn/chung-khoan-toan-cau-lao-doc-vi-thue-oto-cua-my-5042237.html