Escalating trade tensions are reviving concerns over stagflation and potential global recession
by Andy Catsimanes
Stone X
Markets don’t wait for diplomatic niceties. While world leaders weigh responses to escalating trade tensions, investors have already moved, and not quietly.
Fiona Cincotta, Senior Market Analyst at Forex.com, joined the BBC to dissect the market’s reaction to fresh tariff threats. The mood, she says, is uneasy—and with good reason. “The big fear here is that… this is really just the start of things,” she cautions.
Hopes for de-escalation had been tenuous at best. With worst-case scenarios suddenly coming to pass, investor sentiment snapped last week. Markets across Asia showed the first signs of strain, and European indices quickly followed. The U.S. was next in line.