New York, USA – Global markets are experiencing turbulence as major shifts in government policies are causing uncertainty for investors worldwide.

In the United States, the weakening of the dollar and a drop in stock futures indicate a potential reversal of the previous rally triggered by a recent partial rollback of tariffs. The unpredictability of the White House’s tariff policy, with talks of delays, exceptions, and extensions, is keeping investors on edge.

Overseas, the market saw investors selling off government bonds following Germany’s plans for a significant increase in spending. The ripple effect of this decision caused German bond yields to surge, while Japanese long-term yields reached their highest levels since 2009.

Recent market movements show S&P 500 and Dow industrials futures dropping by around 1%, with Nasdaq-100 futures experiencing a more significant decrease. Global markets are displaying mixed performance, with the Stoxx Europe 600 slightly down, while Asian indexes, particularly Hong Kong’s Hang Seng, have risen driven by gains in Chinese tech stocks.

Meanwhile, U.S. Treasury yields have seen a slight increase, albeit less than the rise in yields in Europe and Japan. Additionally, the price of Bitcoin has risen to around $91,000, adding another layer of complexity to the current market landscape.

Investors are now looking ahead to the European Central Bank’s expected announcement of a further interest rate cut, scheduled for 8:15 a.m. ET. The ongoing volatility in global markets underscores the need for investors to stay vigilant and adaptable in the face of rapidly changing government policies and economic conditions.