On Monday, international financial markets experienced significant declines for the fourth consecutive day, ignited by the intensifying tariff conflict initiated by U.S. President Donald Trump.

Following Trump's warning that he would increase tariffs on Chinese imports by 50% if Beijing does not retract its recent retaliatory tariffs, the atmosphere has become increasingly volatile, contributing to fears of a potential global recession.

European stock exchanges fell by approximately 5% by midday, coinciding with Wall Street opening to losses around 4%.

In response to the market instability, the U.S. Federal Reserve announced an extraordinary emergency meeting to discuss the ongoing situation.

Early trading data indicated that the Dow Jones Industrial Average had dropped by 0.91%, and the S&P 500 had decreased by 0.23%, while the tech-heavy Nasdaq showed a modest gain of 0.10%, suggesting a partial easing of selling pressure.

Asian markets, particularly the Hang Seng Index in Hong Kong, recorded a drastic decline of 13%, while the Nikkei 225 Index in Japan fell nearly 8%.

The Japanese government urged investors to remain calm amid the rapid market changes.

The current economic policies of the Trump administration are creating a crisis of confidence in markets unseen in years, leading to apprehensions about the potential ramifications of the tariffs.

While analysts have been hesitant to predict a full market crash, they warn that downward trends may persist until investors perceive viable negotiation prospects.

Amid this turmoil, investors are gravitating toward safer assets.

The U.S. dollar, previously considered a refuge in geopolitical uncertainty, is losing strength, counteracting Trump's intention of making U.S. exports more competitive.

In light of the prevailing market conditions, the Federal Reserve has been convening for over three hours to formulate a strategic response, which is anticipated to be communicated by Chairman Jerome Powell.

Trump continues to deliver stark warnings to countries responding with their tariffs, particularly to China, which was the first to retaliate.

The European Union has remained largely silent in response to the escalating tensions, with an announcement expected later in the week.

Meanwhile, trade ministers from EU member states convened in Luxembourg, while the European Commission pursues negotiations with the Trump Administration—an initiative that includes proposals for mutual tariff eliminations on industrial goods.

In Spain, the ramifications of these trade tensions are beginning to be felt, with significant market turmoil resulting in various industries being adversely affected.

The Spanish government plans to approve an urgent aid package to address the impending tariff threats within the coming days.

Key figures in the Spanish business community, including Minister of Economic Affairs Carlos Cuerpo and CEOE President Antonio Garamendi, have publicly discussed the need for unity and collaborative effort in response to the current economic challenges.

Union leaders Unai Sordo and Pepe Álvarez voiced their concerns about the potential job impacts, urging preparedness to prevent layoffs.

Cuerpo emphasized the importance of open dialogue among social actors, stating that the government and various stakeholders have demonstrated a commitment to developing a unified response.

The situation remains fluid, and the exact impact of the evolving tariff landscape on employment and industries is still uncertain, with leaders from various sectors calling for continued negotiation and strategic planning.