WASHINGTON, D.C. – The announcement of President Donald Trump’s reciprocal tariffs Wednesday rocked global markets last week, and U.S. markets are struggle to rebound in another highly volatile trading session Monday.

The major U.S. stock indexes vacillated from steep valleys to fleeting peaks Monday, with the Dow Jones down 2.4%, the S&P 500 down nearly 2% and the Nasdaq down almost 1.6% just after noon. Though the S&P entered bear market territory Monday morning, and the Dow plunged over 1,500 points before 10 o’clock, both had recovered roughly three times by midday. The Nasdaq cratered 737.83 points at 9:45 AM, but had similarly rebounded to a decline of less than 1% by 12 PM.

Trump has been vocal about how other countries have been “ripping off” the U.S. for decades by charging high tariffs on American imports while enjoying very low tariffs in return. After delaying them one month, Trump announced reciprocal tariffs with all major U.S. trading partners on Wednesday after the stock market’s close.

On Thursday, the Dow Jones, the S&P 500 and the Nasdaq fell nearly 4%, 4.8% and nearly 6%, respectively. Friday, China retaliated and imposed a 34% tariff on American goods. The indexes plummeted again, with the Dow nosediving more than 2,230 points, or 5.5%, the S&P tumbling another almost 6% and the Nasdaq Composite entering a bear market. A bear market occurs when stocks decline at least 20% from a recent high. All three have now seen their worst one-day performance since the start of the pandemic.

Observers warned of a recession before Wednesday’s announcement, and the markets’ violent response has only intensified those concerns.

Trump is now threatening an additional 50% tariff on China.

This article was written by Morgan Sweeney and originally published by The Center Square. It is republished here with permission.