Following the announcement of new tariffs by Donald Trump (April 2, 2025 at 3:00 PM ET), global stock markets are experiencing their biggest shock since 2020. Is April 7 (2025) the new Black Monday?
Black Monday? Markets around the world are collapsing this morning like a PowerPoint presentation without a backup. Asia is already screaming, Europe is in a correction, USA well... they are still waking up to chaos. The reason?! After the announcement of new tariffs by Donald Trump (April 2, 2025 at 3:00 PM ET) global stock markets are experiencing their biggest shock since 2020. Is April 7 (2025) the new Black Monday?
Black Monday: The Morning When the Markets Went Crazy
If you are today (Monday, April 7, 2025 at 09:01 CEST) If you looked at the stock market indices and heard a quiet “aaaaah”, you were not hallucinating. This was an echo from Hong Kong, where the Hang Seng index fell brutally -10,37 % (at 08:00 HKT). China (CSI 300) was not much better (-6.31 % at 08:05 CST), while Japan (Nikkei 225) experienced a classic Monday panic attack (-8.02 % at 08:30 JST). DAX (DEWX) – the German index – is already 25 minutes after opening 10% drop.
This is not a normal start to the week. This is the stock market version of calling 112.
The cause? Trump + Tariffs = Chaos
It all started (April 2, 2025 at 3:00 PM ET) when US President Donald Trump announced a new wave of tariffs, including:
- 54% tariff on Chinese electronics
- 35 % on European vehicles
- 25 % on anything that contains lithium (so… almost everything)
Within 48 hours, this triggered a complete stock market sell-off.
Index S&P 500 fell for -10,5 % (April 2-3, 2025), which is the largest two-day drop since March 2020 (source: Reuters April 4, 2025 at 10:00 a.m. ET).
Panic table
| Index | The date | Change (%) | Time (local) | footnote |
|---|---|---|---|---|
| S&P 500 | April 2–3, 2025 | -10,5 % | 4:00 PM ET | Biggest two-day drop since COVID crisis |
| Dow Jones | April 4, 2025 | -5,0 % | 4:00 PM ET | A drop of 2,027 points |
| NASDAQ | April 4, 2025 | -6,3 % | 4:00 PM ET | Officially in a bear market |
| STOXX 600 | April 7, 2025 | -4,2 % | 09:05 CEST | Worst day since March 2020 |
| Hang Seng | April 7, 2025 | -10,37 % | 08:00 GMT | Customs panic |
| Nikkei 225 | April 7, 2025 | -8,02 % | 08:30 JST | Market shock at the opening |
Market chronology in recent days
- April 2, 2025 (3:00 PM ET) – Trump announces tariffs, markets immediately react negatively.
- April 3, 2025 (until 4:00 PM ET) – S&P 500 loses another 5 %, with a two-day drop of -10.5 %.
- April 4, 2025 (4:00 PM ET) – Dow Jones plummets 2,027 points.
- April 6, 2025 (9:00 PM ET) – US futures (S&P 500 E-minis) lose -4 % in breakeven trading.
- April 7, 2025 (08:00–09:30 local time) – Asia and Europe open in the red. STOXX 600 confirms correction, Hang Seng records biggest drop in a decade.
Analysts: “We warned you”
Legendary investor Jeremy Grantham said back in February 2025 that US markets were “acting as if inflation and geopolitics never happened.” Now, boom – geopolitics is here with big shoes and the rattle of tariffs.
John Hussman adds (Business Insider, April 6, 2025 at 1:00 PM ET) that these tariffs have “pushed the US right to the brink of recession.” Investment firms like Goldman Sachs and Morgan Stanley are talking about possible cataclysmic year 2025It's nice that we at least have a consensus.
How deep is the bottom?
The billion-dollar question – have we hit rock bottom yet?
Answer: No.
A more honest answer: Nobody knows.
The most honest answer: If someone tells you they know, they sell ETFs.
Looking at futures data and early European declines (April 7, 2025 at 09:00 CEST), it looks like today will be another very, very red day. And if the US opens (at 09:30 ET) follows the same tone, a new wave of panic selling could begin.
Conclusion: It may not be the worst Monday, but it's damn close
- April 2025 may not be sealed in the history books as new black monday (like the one from 1987), but it still deserves its own chapter – at least in textbooks on investor psychology.
The stock markets are a global game of dominoes, and when one piece falls (in this case, Trump with his tariff tweet), the others quickly follow. Panic is contagious, the economy is vulnerable, and the world is… well, digitally connected and, ironically, more fragile.
If you still have shares: hold on tight.
If you don't have them: congratulations, you may be an unwitting financial genius.
