Tariff Uncertainty Pressures U.S. Stocks, Fuels Global Market Volatility

U.S. stocks fell on Tuesday due to ongoing tariff concerns, particularly affecting healthcare and consumer shares, despite strong earnings from financial institutions like Bank of America. The Trump administration's tariff probes into pharmaceuticals and semiconductors have added to market volatility, with companies like Merck & Co and Johnson & Johnson experiencing stock declines. Meanwhile, European markets showed an upward trend, although LVMH's shares dropped significantly due to disappointing revenues, reflecting the trade war's impact on the luxury sector. The Reserve Bank of Australia is also on alert, keeping interest rates steady while expressing concerns about the inflation risks posed by U.S. tariffs. Analysts warn of continued market fluctuations until there is greater clarity on tariff policies. Overall, the interplay of U.S. tariff decisions is influencing global market sentiments and economic forecasts.