Howard Lutnick stated his belief that Donald Trump will not change his tune on the implementation of tariffs against some of the U.S.'s biggest trade partners.

Markets plummeted in after-hours trading after Donald Trump announced reciprocal tariffs on U.S. trading partners

Equities have been battered leading up to the US president's announcement -- which he has dubbed "Liberation Day" -- with warnings that friend and foe are in the crosshairs after what he says is years of "ripping off" the United States.

Investors have been rushing to position themselves for the US president's "Liberation Day" on Wednesday, when he warned he will impose levies on "all countries" for what he has said is years of them ripping off Americans.

The president's pledge to impose 25 percent levies on all autos coming into the United States overshadowed earlier indications that planned reciprocal measures due on Trump's so-called "Liberation Day" on April 2.

With the White House's "Liberation Day" on April 2 approaching, investors have been bracing for a wave of sweeping levies on imports amid warnings of crippled global trade, recession and a fresh spike in inflation.

A surge in tech giants including Tesla and Nvidia helped New York markets higher, with sentiment buoyed by indications from the White House that next week's glut of levies would be less severe than feared.

Investor sentiment has been jolted in recent weeks by fears that the president's hardball policies could deal a painful blow to the global economy.

Traders took heart from Fed boss Jerome Powell's comments that the impact of hefty levies imposed on imports from key partners would likely be transitional, and from officials' forecasts that did not see a feared recession this year.

Markets have been seized by volatility recently as US President Donald Trump embarks on his hardball trade policy that has seen him impose painful duties on imports from major partners, stoking recession fears.

The tepid start to the day followed tech-led losses on Wall Street, while an agreement between US President Donald Trump and Vladimir Putin that Russia would stop targeting Ukrainian energy was met with a shrug.

London, Paris and Frankfurt rose at the open. The rally came after a second successive day of gains on Wall Street, which has been hammered this month by a sell-off sparked by Trump's tariffs campaign that many fear could ramp up US inflation and hammer the economy.

Eyes were on Beijing as officials were set to outline their plans to kickstart spending by the country's army of consumers after years of post-Covid weakness that has been a major drag on economic growth.

Fox News host Laura Ingraham urged viewers to dismiss media reports warning of a potential recession, insisting that Donald Trump is "good for business."

Bitcoin plunged as much as 5.7% after Trump signed an executive order to establish a "Strategic Bitcoin Reserve" without planning any public purchases of the cryptocurrency.

The White House announced Wednesday an exemption on any autos coming through the United States, Canada and Mexico free trade pact, after Trump held talks with the "Big Three" US automakers -- Stellantis, Ford and General Motors.

After a healthy performance on Friday, Asian investors struggled to maintain momentum after big losses in New York, where the Nasdaq lost more than two percent.

The yen pulled back a day after rallying past the 150-per-dollar mark following a warning on rising bond yields by Japan's finance minister saw a rethink over bets on how many interest rate hikes the central bank will announce this year.

The losses come despite a second-straight record close on Wall Street and follow a recent rally as traders have rolled with the president's latest tariff salvos, betting that they are being used as negotiating tactics.

Regional investors struggled to pick up the baton after a record close on Wall Street, with the rally in Hong Kong-listed tech stocks suffering a setback following disappointing earnings from Chinese internet giant Baidu.

The Hang Seng Index's gains extended an impressive start to the year, with the emergence of a new chatbot from Chinese startup DeepSeek stoking optimism in the country's AI drive.

Trading floors have been hit by uncertainty since Trump returned to the Oval Office last month announcing a series of tariffs against key trading partners.

The president has unveiled a range of hardball measures to bring an end to what he says is years of countries taking advantage of the United States, fuelling trade war fears and leading to warnings of another inflation spike.

The US president said he expected to meet his Russian counterpart in Saudi Arabia "in the not too distant future" to find a route to ending the three-year conflict, which has fanned geopolitical fears and energy costs.

The remarks, reflecting similar sentiments from another top monetary policymaker, came a day before the release of closely watched inflation data and reinforced expectations that borrowing costs would likely remain elevated for some time.

The US president has lived up to his campaign pledges to resume his hardball trade diplomacy to extract concessions on a range of issues, including commerce, immigration and drug trafficking.

Marc Short said that despite the president's claims, consumers will be the ones paying for the tariffs

Another week got off to an uncertain start following losses on Wall Street that came in reaction to data showing US consumers increasingly worried about inflation and news that far fewer jobs than expected were created last month.

The week was on course for a tepid end, having begun with another bout of volatility after Trump imposed tariffs on leading partners China, Canada and Mexico.

Global equities have been hit by volatility this week after US President Donald Trump announced hefty tariffs on China, Canada and Mexico.