Global Markets Highlights: Global Markets in the Red as U.S.-China Tensions Escalize
MARKETS IN THE RED!
Bitcoin extended its losses on Saturday, dropping another 2.3% following a massive selloff in tech stocks and risk assets as U.S.-China trade tensions escalated dramatically.
President Donald Trump announced on Friday night that the United States will impose new 100% tariffs on all Chinese imports starting November 1, in addition to an already effective tariff rate that analysts estimate sits around 40%.
Trump also confirmed that Washington will enforce export controls on “any critical software” starting the same date — marking one of the most significant escalations in trade relations since the beginning of the tariff conflict between the U.S. and China.
Amid this volatility, there are strong buying opportunities emerging in both the crypto and tech sectors, which have corrected sharply from their recent highs.
U.S. GROWS WHILE EUROPE STAGNATES
The U.S. economy continues to defy expectations, showing solid growth under President Donald Trump’s administration, while Europe remains stuck in stagnation.
According to Neil Shearing, Chief Economist at Capital Economics Group, the United States grew approximately 0.9% quarter-on-quarter, or nearly 4% annualized, in Q3 2025. In contrast, the eurozone expanded by just 0.1–0.2% during the same period.
This divergence comes despite early-year forecasts predicting that Trump’s trade barriers, tighter immigration rules, and unconventional monetary policies would weigh heavily on U.S. growth.
CEASEFIRE AGREEMENT
Israel and Hamas have agreed on terms for the release of all hostages in Gaza, and the ceasefire is now in effect, confirmed by Israel’s Deputy Foreign Minister.
Of the 48 Israeli hostages previously held, only around 20 are believed to be alive. Under the plan promoted by President Donald Trump, Israel will release nearly 2,000 Palestinian prisoners in exchange.
The Israeli government ratified the ceasefire early Friday, paving the way for a partial troop withdrawal and a total suspension of hostilities in Gaza within 24 hours.
From the start of the ceasefire, Hamas has 72 hours to deliver the hostages in exchange for hundreds of Palestinian detainees held in Israel.
THE AI JEWELS OF 2026: BROADCOM AND NVIDIA
Broadcom is strongly positioned as a leading provider of ASICs — chips designed specifically for artificial intelligence applications.
In addition to manufacturing these chips, Broadcom will supply complete server racks for major clients such as Google, Meta, OpenAI, Apple, and ByteDance.
This means they’re not only selling chips, but entire systems that speed up and optimize AI processing. The company recently signed a $10 billion deal with OpenAI.
Meanwhile, Nvidia continues to see strong demand for its GPUs in data centres, especially its GB300 and GB200 rack systems.
The company has resumed GPU shipments to China, opening new market opportunities. Nvidia is expected to deliver over 30,000 racks this year and more than 50,000 next year, reinforcing its leadership position in 2026.
THE U.S. STEPS IN TO SUPPORT ARGENTINA
The U.S. Treasury has purchased Argentine pesos for the first time, citing the country’s severe liquidity issues and claiming that the peso is undervalued.
“Argentina is facing a period of severe illiquidity. The international community, including the IMF, unanimously supports Argentina and its prudent fiscal strategy. But only the United States can act quickly — and we will. Today, we directly purchased Argentine pesos,” posted Treasury Secretary Scott Bessent on X.
The U.S.-Argentina currency swap signed in October 2025 is a $20 billion exchange agreement between Argentina’s Central Bank and the U.S. Treasury.
This swap aims to ease liquidity stress, reinforce Argentina’s dollar reserves, and stabilize the exchange rate.
In practice, the U.S. purchased pesos to inject liquidity into the local market and provided a credit line that Argentina can access to obtain U.S. dollars when needed — helping to calm currency markets and provide short-term relief to the Argentine government.
Final Takeaway
Global markets are showing high volatility as trade tensions, monetary policy divergence, and geopolitical shifts redefine investor sentiment.
However, periods of correction like this can present key entry opportunities — especially in crypto, AI, and emerging market assets.
