Dow Jones Plummets 970 Points Amid Trump's Fed Criticism, Market Turmoil

The global financial landscape experienced significant turbulence overnight and this morning, with key events shaping market sentiment and economic policies. The Dow Jones Industrial Average saw a sharp decline, dropping over 970 points, as former U.S. President Donald Trump's criticism of Federal Reserve Chairman Jerome Powell reignited market fears. Trump's warnings about a potential slowdown in the U.S. economy unless the Federal Reserve cuts interest rates further exacerbated market volatility, leading to a broader sell-off in U.S. assets and increased investor caution.

In the energy sector, U.S. West Texas Intermediate (WTI) crude oil prices fell by 2.5% on Monday, reflecting growing concerns over weakened demand. Meanwhile, gold prices in New York surged by approximately 3.2%, briefly reaching a new historical high above $3,440. This surge in gold prices can be attributed to the heightened risk aversion among investors, who are seeking safe-haven assets amidst the economic turmoil.

The U.S. government faced several legal and security challenges. A U.S. court blocked the Dogecoin cryptocurrency from accessing sensitive personal data from the Social Security Administration. Additionally, Harvard University filed a lawsuit against the Trump administration, adding to the legal complexities facing the . Trump also announced his plans to attend the funeral of Pope Francis in Rome with his wife, further highlighting his international engagements.

In the corporate sector, Tesla's stock experienced a significant drop ahead of its first-quarter financial report, raising concerns among analysts about the company's brand integrity. The U.S. Department of Justice is investigating whether Google is using artificial intelligence to expand its search engine monopoly. Meanwhile, Trump's policies have caused unease among hedge fund managers, who are now looking towards the Middle East for investment opportunities. Apple, too, is facing multiple crises, with analysts slashing its target price, predicting a potential 28% drop in its stock value.

The U.S. Federal Aviation Administration plans to deploy a new flight crew information database system by September, aiming to enhance aviation safety. The U.S. Department of Homeland Security Secretary's personal belongings, including $3,000 in cash and identification documents, were stolen from a Washington, D.C. restaurant. The Federal Deposit Insurance Corporation announced plans to lay off over 1,200 employees, reflecting broader cost-cutting measures in the financial sector. A passenger plane in the U.S. experienced an engine fire at the airport, leading to the evacuation of passengers.

India imposed a temporary 12% protective tariff on certain steel products to curb imports, a move aimed at safeguarding its domestic steel industry. The U.S. government is also grappling with the fallout from Trump's trade policies, with retailers like Walmart engaging in discussions with the to address tariff concerns. The ongoing trade tensions have led to a significant shift in investor sentiment, with many opting to reduce their exposure to U.S. equities.

The U.S. economy continues to face headwinds, with leading indicators showing a sharp decline in March due to the impact of tariffs. The energy sector is also feeling the pinch, with oil prices dropping as market concerns over demand weaken. The U.S. Treasury market saw a steepening yield curve, indicating that investors are pulling back from U.S. assets. The dollar weakened further as Trump continued to pressure the Federal Reserve to lower interest rates, contributing to the overall market volatility.