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08 April 2025

Global Stock Markets Plunge Amid Trade War Concerns

Investors turn to stocks as crypto market faces steep declines

Global stock markets are experiencing significant turbulence, plunging to 12-month lows as President Trump’s tariffs ignite a full-blown trade war. Investors are now rushing to buy the dip, hoping to capitalize on cheaper stocks amid this volatile environment. As the dust settles, insights from a recent report reveal intriguing trends in stock market interest worldwide.

The report, which tracks the stocks gaining the most attention on Google, analyzed average monthly searches for terms like ‘buy stocks’, ‘sell stocks’, and ‘invest in stocks’ across the 46 largest countries by GDP. The data, gathered by the trading education platform BestBrokers using Ahrefs’ Keywords Explorer, highlights the nations with the greatest interest in stock trading.

Japan leads the pack with an impressive 4,132 searches per million people, totaling 510,110 monthly queries related to buying, selling, and investing in stocks. The United States follows in second place, with 3,623 searches per million, amounting to 1,232,440 stock-related questions each month. Singapore rounds out the top three with 2,654 queries per million people, while Canada and Germany also show strong interest with 2,634 and 2,333 searches per million, respectively.

Interestingly, while Spain does not rank among the top countries for buying stocks, it holds the second position for searches related to selling stocks, with 400 searches per million citizens. The most frequently searched questions across countries include ‘How to buy stocks?’ and ‘Which stocks to buy?’, while sellers are primarily concerned with ‘When to sell?’. This indicates a strong desire for guidance amid the market's current fluctuations.

Among the stocks attracting the most attention globally, NVIDIA stands out with a staggering 12 million average monthly searches. This surge in interest comes as the AI chip maker reported a 19.98% jump in its share price over the past year, alongside an astonishing 1,700% growth over the last five years. Following NVIDIA is Tesla, which garners 7 million monthly searches related to its stock.

As the stock market grapples with these challenges, the crypto market is also feeling the heat. Following Trump’s tariff policy announcement, fears of a “Black Monday” have emerged, causing significant drops across various cryptocurrencies. On April 7, 2025, the price of Ripple (XRP) plummeted by 15% to $1.80, marking its lowest value in two months. This decline has been accompanied by a surge in interest in the term “Black Monday” on Google Trends, which has jumped to 100, reflecting heightened investor anxiety.

The total crypto market capitalization fell by 9%, now sitting at $2.4 trillion, as the US stock market faced one of its worst trading days. The S&P 500 futures index dropped by 2.88%, leading traders to reduce their exposure to riskier assets amidst escalating tensions in the US-China trade war.

Data from Coinglass reveals that over $40 million in open positions on Ripple (XRP) were liquidated, with $36 million attributed to long positions. This liquidation has exacerbated the selling pressure on Ripple, pushing its open interest below $3 billion and turning funding levels negative, indicating a bearish market sentiment.

Technical indicators further support the bearish outlook for Ripple. The Relative Strength Index (RSI) has decreased to 30, suggesting intense selling pressure, although an oversold RSI can also indicate that the downtrend may be nearing exhaustion. With the bearish trend persisting, some analysts predict that Ripple could plummet by as much as 44% to $1 if critical support levels are breached. Prominent trader Peter Brandt has noted that such a drop is already in sight if the current support is lost.

Meanwhile, back in the stock market, trading volumes are fluctuating significantly. On April 8, 2025, Petronet LNG Ltd saw a volume of 75,004 shares traded by 10:47 IST on the Bombay Stock Exchange (BSE), representing a 2.08-fold increase over its two-week average daily volume of 35,985 shares. Despite this surge, the stock slipped 1.18% to Rs.272.75.

Other companies also experienced notable trading volume spikes. Cholamandalam Financial Holdings Ltd recorded a volume of 18,690 shares, a 1.95-fold increase over its average, with its stock rising 7.49% to Rs.1,676.10. Titan Company Ltd saw a volume of 60,544 shares traded, a 1.66 times increase, with its stock increasing by 2.72% to Rs.3,105.85.

HCL Technologies Ltd notched up a volume of 138,000 shares, a 1.27-fold increase, with its stock rising marginally by 0.02% to Rs.1,375.60. Conversely, Welspun Corp Ltd registered a volume of 42,623 shares, a 1.25-fold increase, but its stock slipped 4.41% to Rs.758.00.

As the market continues to navigate this turbulent landscape, investors are left grappling with uncertainty. The interplay between stock and crypto markets highlights the interconnectedness of global financial systems and the ripple effects of geopolitical events. With fluctuating volumes and investor sentiment swinging wildly, the coming weeks will be crucial in determining the direction of both markets.

In this complex environment, the importance of informed decision-making cannot be overstated. As always, investors are encouraged to conduct thorough research and consider their strategies carefully before entering or exiting positions in this unpredictable market.