Global Risks Rise Amid Escalating US Tariff Policies

Global economic uncertainty is intensifying due to the United States’ escalating tariff policies, which have led to market volatility and affected both the Japanese yen and worldwide growth prospects. Bank of Japan Governor Kazuo Ueda has warned that the central bank may need to act if U.S. tariffs significantly harm Japan’s economy, highlighting that risks have worsened and sentiment has already suffered. The yen has weakened following U.S.-Japan tariff talks that excluded currency issues, while trade uncertainty continues to affect global markets. Economists and central bank officials worldwide caution that U.S. tariffs could slow economic growth, increase unemployment, and destabilize global supply chains. The Federal Reserve has indicated that persistent tariffs could require interest rate cuts if recession risks rise. The unpredictable U.S. trade stance is now viewed as the leading cause of heightened global economic risk.