Financial markets extended losses in the main stock indexes for a second consecutive day, accumulating $6.4 trillion in stock value, fueling anxiety over U.S. government tariffs.

In North American markets, its main indices registered losses of more than 5 percent, extending their negative momentum, a situation that did not improve after the statements of Donald Trump, who assured that he would not reverse the protectionist measures.

• The Dow Jones Industrial Average closed the day with losses of 5.50 percent, accumulating a decline of 9.48 percent in the value of its main indexes in recent days.
• While the S&P 500 is dragging accumulated losses of more than 10 percent during the day, after experiencing a decline of 5.98 percent, attenuating the negative terrain.

The three main stock exchanges in that country accumulated weekly losses exceeding 7 percent, registering the worst dynamism since the third week of March 2020, when the first impacts of the COVID-19 pandemic were felt.

Another effect of the fall in the North American markets was China's announcement that it would impose tariffs of 34 percent starting April 10.

Technology companies continue to post losses

Just like the previous day, the Nasdaq technology index ended the session in the red, recording a 6.07 percent loss in share value at the close. Inside, companies such as Apple, Amazon, Tesla, Meta, and Nvidia led the losses.

US tech giant Apple ended the session down 7.28 percent, while Amazon fell 4.15 percent and chip giant Nvidia fell 7.32 percent.

BMV is painted red

Within our country, the Price and Quotation Index (IPC) of the Mexican Stock Exchange (BMV) broke the positive momentum it registered during Thursday, when it closed operations in positive territory.

Today, the Mexican index closed trading in negative territory, down 4.84 percent, driven by persistent nervousness over the ongoing tariffs on the country, such as those on automotive, steel, aluminum, and others.

Faulty tariff calculations

Adam Tooze, an economic historian at Columbia University in the United States, told The Guardian newspaper that there were"grotesque" policies for Southeast Asian countries.

Where tariffs of 49 percent were included for Cambodia, and rates of 48 percent for Laos and 46 percent for Vietnam.

Highlighting that the calculations made by the United States government, even though it was announced that they would be heavily studied, proved to be flawed in their application.

He also noted that Vietnam, in particular, has become part of the global supply chain of major manufacturers, including US technology and apparel companies such as Nike, Intel and Apple.

While Lesotho, the small southern African country, one of the poorest in the world, is another singular example, with a 50 percent tariff, its main exports to the United States include diamonds and clothing.

"This demonstrates the importance of international ties in the rare minerals sector for the U.S. economy, but also how the United States has sought to boost the development of African nations in recent years, with policies to encourage manufacturing by companies like Levi Strauss and Wrangler," the outlet noted.

However, Trump, with his “America First” strategy, has reversed decades of attempts by successive US administrations to exert global economic influence, representing an earthquake for the world economy.

“This isn't serious trade policy or a grand strategy. The boss hates trade deficits, and his team of willing sycophants came up with a formula, however absurd, that fit the bill,” Tooze said.

How did the commodities market fare?

As for the commodities market, the majority of the session ended in the red, starting with gold, which with today's result was one of the main losers after gaining relevance in the last week, closing with losses of 2.08 percent.

Meanwhile, oil had negative results where the value of Brent and WTI in the futures market had a loss of 5.93 percent and 6.89 percent.

Cocoa, one of the few gainers yesterday, suffered the effects of widespread losses, falling 8.50 percent. Corn, in contrast, continued its strong performance, gaining 0.66 percent.

Peso loses ground again

Meanwhile, the Mexican peso succumbed to market pressure, rising against the dollar yesterday. However, at the close of trading, the currency lost 2.52 percent.

This was quoted above 20.40 units per greenback, ending the good momentum it showed on Thursday.

Amid the rapid sell-off, Federal Reserve Chairman Jerome Powell acknowledged that the president's policies could have economic consequences, including rising inflation and a slowdown in gross domestic product (GDP).

However, on Friday, it succumbed to a wave of risk aversion after China announced 34 percent tariffs on U.S. products, a situation that affected the national currency.