With Two Tweets, Trump Shatters Historic Calm in Global Markets
- Renewed threat of import tariffs roils stocks, currencies
- China’s stocks tumble along with yuan, while VIX skyrockets
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In the end, all it took was two tweets from Donald Trump.
After weeks of warnings from many on Wall Street that price swings across global markets were too subdued, the American president’s threat to boost tariffs on China sent volatility soaring Monday. The VIX Index jumped as much as 46 percent, the most since the February 2018 volatility meltdown. S&P 500 Index futures slid 1.5 percent and the Shanghai Composite fell 5.6 percent, the most since February 2016. European shares also dropped.