Shares in chip manufacturer Nvidia declined by 6.3% in post-market trading following an announcement that the U.S. had enacted more stringent restrictions on the export of a computer chip specifically developed for artificial intelligence applications. In response, shares of competing chip producer AMD also experienced a notable decrease of 7.1% after the U.S. markets concluded their trading session.

Concerns regarding trade disputes were reignited following a Trump administration declaration of an inquiry into crucial mineral imports, including rare earth elements, essential components in various products such as smartphones and electric vehicles.

Early in European trading, the UK's FTSE 100 index declined by 0.2%, settling at 8,233.10, following the government's announcement that British inflation had decreased for a second consecutive month in March, primarily attributable to a reduction in gas prices.

The German DAX index experienced a downturn, declining by 0.7% to settle at 21,107.68, concurrently, the CAC 40 in Paris also retreated, relinquishing 0.6% to close at 7,289.67.

Stock markets in China fell more than others in the region after the Chinese government announced that the country's economy, the second largest in the world, grew by a strong 5.4% in the last three months of the year. This growth was supported by good results in factories, shops, and exports. However, when looking at growth just for that quarter, it was slower, at 1.2% from January to March, compared to 1.6% in the last three months of 2024.

The Hang Seng index in Hong Kong saw a 2% decline, closing at 20,922.54, whereas the Shanghai Composite index managed to recover some losses, registering a modest 0.1% increase to reach 3,271.19.

Following President Donald Trump's recent decision to escalate tariffs on the majority of Chinese imports to 145%, and China's subsequent increase of duties on goods from the U.S. to 125%, private sector economists have been revising their predictions downwards.

Analysts at ANZ Research indicated that economic activity during the present quarter is already showing signs of decline.

According to Raymond Yeung and other ANZ researchers, the unpredictability of the tariff announcements, rather than the tariffs themselves, has caused the tariff shock, impacting business sentiment and activity.

In Tokyo, the Nikkei 225 index decreased by 1% to 33,920.40, influenced negatively by major technology firms such as chip testing equipment manufacturer Advantest, whose stock declined by 6.6%, and Disco Corp., which plummeted by 8%.

South Korea's Kospi index experienced a decline of 1.2%, reaching 2,447.43, whereas Australia's S&P/ASX 200 saw a marginal decrease of under 0.1%, settling at 7,758.90.

The Sensex in India saw minimal movement, while Bangkok's SET experienced a slight dip of 0.1%.

On Tuesday, US stocks moved slowly, with the S&P 500 falling slightly by 0.2% and the Dow going down by 0.4%. The Nasdaq composite also dropped a little, by less than 0.1%.

Due to the uncertainty surrounding President Donald Trump's tariffs, investors remained vigilant, anticipating further developments.

Following last week's abrupt and significant volatility, the U.S. bond market seemingly stabilized, restoring some faith in U.S. government bonds' role as a secure investment during periods of uncertainty.

The yield on the 10-year Treasury bond held at 4.33%, a decrease from 4.38% at the close of trading on Monday and 4.48% by the end of the previous week; just a week earlier, it had stood at 4.01%. As yields typically decline when investors are apprehensive, this week's fluctuations have provided a sense of stability.

The U.S. dollar's value also stabilised following last week's decline, further fueling concerns that Trump's trade dispute could be eroding its standing as a secure investment asset.

Shares in Palantir Technologies advanced by 6.2%, extending their upward trend for a second consecutive day, following NATO's announcement that it would integrate the company's artificial intelligence proficiencies into its allied command operations.

Early Wednesday, U.S. benchmark crude oil experienced a decline, shedding 69 cents to settle at $60.64 per barrel, concurrently, Brent crude, recognized as the international standard, saw a drop of 65 cents, reaching $64.01 per barrel.

Trump's imposition of tariffs has fueled anticipation of economic deceleration, thereby diminishing the demand for oil and other commodities.

The value of the U.S. dollar decreased against the Japanese yen, dropping from 143.24 to 142.26. Conversely, the euro appreciated relative to the dollar, ascending from $1.1283 to $1.1377.