Asian markets wobble as Wall Street selloff and tariff threats rattle investors

Asian markets stuttered Tuesday following a Wall Street selloff and U.S. trade policy fears. Middle East tensions further dampened investor sentiment.

Asian stock markets weakened in early trade on Tuesday after an overnight selloff on Wall Street, driven by heightened uncertainty over tariff policy in the United States USUS and rising geopolitical tensions. This development reversed a recent multi-day rally and raised volatility and cross-asset price movements across the Asia-Pacific region.
The overnight decline saw the S&P 500 fall 1.0% and the Nasdaq Composite drop 1.1%, while the CBOE Volatility Index (VIX) rose to 21.01. This reversal caused MSCI's broadest index of Asia-Pacific shares outside Japan to flip from gains to losses after a six-day rally. In Japan JPJP, the Nikkei 225 also faced downward pressure as Asia-Pacific stock markets reacted to the shift in global sentiment.
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