Global stock markets witnessed a staggering $1.93 trillion loss on Monday as investor sentiment turned sharply negative following weak economic data out of the United States. The fear of a looming recession gripped the markets, leading to widespread sell-offs across major indices.

At 11:30 a.m. ET, the Dow Jones Industrial Average had plummeted 863.70 points, or 2.17%, to 38,873.56. The S&P 500 also tumbled, losing 129.55 points or 2.42%, to 5,217.01, while the tech-heavy Nasdaq Composite dropped 465.25 points or 2.77%, to 16,310.92. These sharp declines reflect growing concerns that the U.S. economy is on the brink of a recession after last week’s disappointing jobs data.

The bond market saw a rush to safety, with Treasury yields falling as investors moved away from equities. The yield on the 2-year Treasury fell to 3.81% from 3.88%, signaling a flight to safety amid economic uncertainty.

The impact of the market downturn was felt globally, with Japan’s Nikkei 225 suffering its worst day since the 1987 Black Monday crash, plunging 12.4%. South Korea’s Kospi index dropped 8.8%, while European stocks and cryptocurrencies also faced significant declines.

Big Tech stocks were hit hard, with Alphabet, Netflix, and Meta losing between 2.5% and 4%. Nvidia shares fell over 8% after reports surfaced about delays in the launch of its AI chips due to design flaws. Apple’s stock dropped 4.6% after Warren Buffett’s Berkshire Hathaway reduced its stake in the company.

In commodities, gold and silver also took a hit. Spot gold fell 2.2% to $2,389.79 per ounce, while silver dropped 5.1% to $27.08. Oil prices continued to slide, with Brent futures slipping below $76 a barrel, marking a new seven-month low.

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