Global stock markets have experienced significant declines as renewed fears over the US-China trade war resurface, following comments from President Donald Trump about the potential resumption of tariffs. After a brief moment of euphoria triggered by the temporary suspension of tariffs on some trading partners, the market quickly turned as investors grappled with lingering uncertainties.

On April 10, the S&P 500 ended down more than 3%, as the impact of Trump's tariff pause faded. In Japan, the Nikkei 225 index plummeted over 5% after soaring 9.1% a day prior. The broader Topix index also experienced significant losses.

Investors flocked to safer assets, as the yen surged against the US dollar, reflecting a risk-off sentiment among traders. Spot gold prices hit an all-time high of $3,171.49 per ounce as concerns about economic stability mounted.

During discussions about trade, Trump acknowledged the "transition costs" and hinted that tariffs could revert if satisfactory deals are not reached. "If we can't make the deal we want to make...then we'd go back to where we were," he stated, further fueling concerns among market participants.

As Asian markets opened, Japan's Nikkei index dropped 5.6%, while the KOSPI index in South Korea slid nearly 1%. The mood was slightly better in China's markets as Hang Seng and Shanghai indices reported small gains, buoyed by optimism surrounding potential government stimulus measures.

Bearing the brunt of these market reactions, US stocks also saw notable declines, with the Dow shedding 1,014 points or 2.5% as fears regarding the economic fallout from the trade conflict escalated. The resumption of tariffs loomed large in trader sentiment.

In response to the shifting tides of international trade relations, the European Union has also expressed its intention to suspend planned retaliatory tariffs for 90 days, aiming to facilitate negotiations with the US.

For more insights and ongoing updates on the effect of global markets, continue to follow the latest developments as they unfold.