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Asian markets tumbled Tuesday following a sharp sell-off on Wall Street fuelled by fears about the US economy as Donald Trump presses ahead with his global trade war and federal jobs cuts.Traders had initially welcomed his election on optimism that his promised tax cuts and deregulation would boost the world’s top economy and help equities push to more record highs.But there is now a growing pessimism that a recession could be on the cards amid warnings that tariffs imposed on key trade partners will reignite inflation and force the Federal Reserve to hike interest rates again.The president’s weekend comments that the economy was facing “a period of transition” and his refusal to rule out a downturn did little to soothe investor worries.A new wave of tariffs due this week will see steep levies of 25 percent on steel and aluminum imports.Uncertainty over Trump’s tariffs and threats have left US financial markets in turmoil and consumers unsure of what the year might bring.Fears about the future battered Wall Street, where the Nasdaq tanked four percent owing to another plunge in high-flying tech titans including Apple, Amazon and Tesla.And Asia followed suit, with losses across the board. Tokyo was among the main losers after Japanese Trade Minister Yoji Muto said he had failed to win an immediate exemption from US tariffs.Hong Kong and Shanghai extended Monday’s selling that was stoked by a big miss on Chinese consumer prices that added to worries about the Chinese economy.Sydney, Singapore, Seoul, Taipei, Wellington and Manila were also deep in negative territory.”Economic uncertainty and recession fears have intensified, partly driven by President Trump’s weekend comments about the economy being in “a period of transition” and his reluctance to rule out a recession,” said Shaun Murison, senior market analyst at IG online trading platform. “This uncertainty has heightened investor anxiety. Trump’s trade policies, including ongoing tariff discussions are creating uncertainty and fears of economic slowdown. “These tariffs could potentially elevate prices and complicate efforts to reduce interest rates.”The plunge in sentiment across markets in the past few weeks has filtered through to other risk markets, with bitcoin falling below $80,000 on Monday to its lowest level since November — having hit a record close to $110,000 in January.The cryptocurrency’s losses have also been driven by disappointment that Trump signed an executive order to establish a “Strategic Bitcoin Reserve” without planning any public purchases of it.Oil extended Monday’s drop of more than one percent amid worries about demand as US recession speculation builds.- Key figures around 0230 GMT -Tokyo – Nikkei 225: DOWN 1.7 percent at 36,382.57 (break)Hong Kong – Hang Seng Index: DOWN 1.1 percent at 23,512.73Shanghai – Composite: DOWN 0.4 percent at 3,354.29Euro/dollar: UP at $1.0855 from $1.0836 on MondayPound/dollar: UP at $1.2888 from $1.2878Dollar/yen: DOWN at 146.90 yen from 147.26 yenEuro/pound: UP at 84.23 pence from 84.13 penceWest Texas Intermediate: DOWN 0.5 percent at $65.70 per barrelBrent North Sea Crude: DOWN 0.4 percent at $69.03 per barrelNew York – Dow: DOWN 2.1 percent at 41,911.71 points (close)London – FTSE 100: DOWN 0.9 percent at 8,600.22 (close)

Global markets slumped Monday, with Wall Street logging sharp losses over fears that US President Donald Trump’s trade policies could tip the world’s biggest economy into a recession.In the United States, the tech-heavy Nasdaq Composite Index plummeted by 4.0 percent, seeing its worst day since 2022 after Trump declined to rule out the risk of a US recession.”There is a period of transition because what we’re doing is very big — we’re bringing wealth back to America,” Trump told Fox News on Sunday.Since taking office in January, Trump has imposed sweeping tariffs on imports from Canada, Mexico and China — before allowing a partial rollback for the two US neighbors.A new wave threatens to arrive this week, with steep levies of 25 percent on steel and aluminum imports due to take effect Wednesday.Responding to the market sell-off Monday, a White House official said there was “a strong divergence between animal spirits of the stock market and what we’re actually seeing unfold from businesses and business leaders.”The official, speaking on condition of anonymity, was referring to the tendency for emotions to drive investor behavior, in contrast to other economic conditions.Yet, uncertainty over Trump’s tariffs and threats have left US financial markets in turmoil and consumers unsure of what the year might bring.”President Trump seems to have abandoned the US stock market and is willing to put his political vision above the near-term outlook for the US economy,” said Kathleen Brooks, research director at trading platform XTB, in a note.The Nasdaq was bogged down by retreats in the so-called Magnificent Seven tech stocks, which include Google parent Alphabet, Apple, Amazon, Meta and Nvidia.Stocks in electric carmaker Tesla, led by Trump’s billionaire advisor Elon Musk, closed more than 15 percent down.While markets were previously bolstered by hopes of tax cuts and lighter regulation, Steve Sosnick of Interactive Brokers noted that sentiment has been bogged down by more immediate worries over tariffs.”Ongoing confusion about tariffs and concerns that maybe the DOGE cuts are excessive led to a drop in consumer sentiment, and are now leading to fears of a slowdown or higher inflation or both,” he said.Sosnick was referring to sweeping cuts to the federal government overseen by Musk and his Department of Government Efficiency (DOGE).Susannah Streeter, head of money and markets at Hargreaves Lansdown added: “The prospect of a recession in the US is lurking, with consumer confidence falling, companies facing increasing trade complexity and investors turning more nervous.”- German spending plan -The London, Paris and Frankfurt stock markets all closed lower.The European Union’s trade commissioner Maros Sefcovic complained that “the US administration does not seem to be engaging to make a deal” to avoid tariffs against the 27-nation bloc.Brooks of XTB said investors were also reacting to news that Germany’s chancellor-in-waiting, Friedrich Merz, could face opposition to a massive spending plan that boosted markets last week.Tokyo earlier finished higher, but Hong Kong and Shanghai stock markets fell after weekend data from China showed that consumer prices fell 0.7 percent in February, the first drop in 13 months.”The data only reinforces what’s been clear for months — deflationary pressures remain firmly entrenched in the world’s second-largest economy,” said Stephen Innes at SPI Asset Management.Beijing’s retaliatory duties on certain US agricultural goods came into force on Monday after Chinese products were hit with additional 20 percent US tariffs.- Key figures around 2100 GMT -New York – Dow: DOWN 2.1 percent at 41,911.71 points (close)New York – S&P 500: DOWN 2.7 percent at 5,614.56 (close)New York – Nasdaq: DOWN 4.0 percent at 17,468.32 (close)London – FTSE 100: DOWN 0.9 percent at 8,600.22 (close)Paris – CAC 40: DOWN 0.9 percent at 8,047.60 (close)Frankfurt – DAX: DOWN 1.7 percent at 22,620.95 (close)Tokyo – Nikkei 225: UP 0.4 percent at 37,028.27 (close)Hong Kong – Hang Seng Index: DOWN 1.9 percent at 23,783.49 (close)Shanghai – Composite: DOWN 0.2 percent at 3,366.16 (close)Euro/dollar: DOWN at $1.0836 from $1.0844 on FridayPound/dollar: DOWN at $1.2878 from $1.2925Dollar/yen: DOWN at 147.26 yen from 147.97 yenEuro/pound: UP at 84.13 pence from 83.87 penceBrent North Sea Crude: DOWN 1.5 percent at $69.28 per barrelWest Texas Intermediate: DOWN 1.5 percent at $66.03 per barrelbur-rlp-bys-aue/des

Stock markets dropped on Monday with tech shares leading the plunge as investors fretted over the risk that US President Donald Trump’s trade policies could nudge the United States into recession.On Wall Street the tech-heavy Nasdaq fell more than 3.6 percent after Trump himself declined to rule out the risk of a US recession.”I hate to predict things like that,” he told Fox News on Sunday when asked directly about a possible recession this year.”There is a period of transition because what we’re doing is very big — we’re bringing wealth back to America,” he said, adding: “It takes a little time.”Trump’s on-off tariff threats against Canada, Mexico, China and others have left the US financial markets in turmoil and consumers unsure what the year might bring.”President Trump seems to have abandoned the US stock market and is willing to put his political vision above the near-term outlook for the US economy,” said Kathleen Brooks, research director at trading platform XTB, in a note.The Nasdaq was bogged down by retreats in the so-called Magnificent Seven tech stocks, which include Google parent Alphabet, Amazon, Meta and Nvidia.Stocks in electric carmaker Tesla, owned by Trump’s billionaire advisor Elon Musk, slumped by more than 11 percent.”Unease about the effect of Trump’s tariffs hangs over financial markets at the start of the week,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.”The prospect of a recession in the US is lurking, with consumer confidence falling, companies facing increasing trade complexity and investors turning more nervous.”David Morrison, senior market analyst at financial services firm Trade Nation, added: “Risk sentiment has soured as investors react to President Trump’s various tariff announcements and as the US economic outlook begins to cloud over.”- German spending plan -The London, Paris and Frankfurt stock markets all closed lower.The European Union’s trade commissioner Maros Sefcovic complained that “the US administration does not seem to be engaging to make a deal” to avoid tariffs against the 27-nation bloc.Brooks of XTB said investors were also reacting to news that Germany’s chancellor-in-waiting, Friedrich Merz, could face opposition to a massive spending plan that boosted markets last week.Germany’s Green party said Monday it would not give the votes necessary for Merz’s proposals to partially lift spending limits on defence and establish a 500-billion-euro ($540-billion) infrastructure fund.Tokyo earlier finished higher, but Hong Kong and Shanghai stock markets fell after weekend data from China showed that consumer prices fell 0.7 percent in February, the first drop in 13 months.”The data only reinforces what’s been clear for months — deflationary pressures remain firmly entrenched in the world’s second-largest economy,” said Stephen Innes at SPI Asset Management.Beijing’s retaliatory duties on certain US agricultural goods came into force on Monday after Chinese products were hit with 20 percent US tariffs.- Key figures around 1645 GMT -New York – Dow: DOWN 1.2 percent at 42,283.47 pointsNew York – S&P 500: DOWN 2.3 percent at 5,639.72New York – Nasdaq: DOWN 3.6 percent at 17,534.77London – FTSE 100: DOWN 0.9 percent at 8,600.22 (close)Paris – CAC 40: DOWN 0.9 percent at 8,047.60 (close)Frankfurt – DAX: DOWN 1.7 percent at 22,620.95 (close)Tokyo – Nikkei 225: UP 0.4 percent at 37,028.27 (close)Hong Kong – Hang Seng Index: DOWN 1.9 percent at 23,783.49 (close)Shanghai – Composite: DOWN 0.2 percent at 3,366.16 (close)Euro/dollar: DOWN at $1.0833 from $1.0844 on FridayPound/dollar: UP at $1.2893 from $1.2925Dollar/yen: DOWN at 147.22 yen from 147.97 yenEuro/pound: UP at 84.03 pence from 83.87 penceBrent North Sea Crude: DOWN 1.1 percent at $69.58 per barrelWest Texas Intermediate: DOWN 1.16 percent at $66.26 per barrel

Stock markets slipped on Monday as investors fretted over the impact of President Donald Trump’s trade policy on the economic growth of the United States and China, the world’s biggest economies.Wall Street’s three main indexes opened in the red, with the tech-heavy Nasdaq falling two percent, after Trump himself declined to rule out the risk of a US recession.”I hate to predict things like that,” he told a Fox News interviewer on Sunday when asked directly about a possible recession in 2025.”There is a period of transition because what we’re doing is very big — we’re bringing wealth back to America,” he said, adding: “It takes a little time.”Trump’s on-again, off-again tariff threats against Canada, Mexico, China and others have left the US financial markets in turmoil and consumers unsure what the year might bring.”Unease about the effect of Trump’s tariffs hangs over financial markets at the start of the week,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.”The prospect of a recession in the US is lurking, with consumer confidence falling, companies facing increasing trade complexity and investors turning more nervous,” she added.The London, Paris and Frankfurt stock markets were all lower in afternoon deals, with German shares also hit by concerns that the country’s next chancellor may struggle to push through a massive spending plan.”Risk sentiment has soured as investors react to President Trump’s various tariff announcements and as the US economic outlook begins to cloud over,” said David Morrison, senior market analyst at financial services firm Trade Nation.”The president appears to be taking a scatter-gun approach in terms of targets, while teasing the markets with last minute reprieves, delays or softening in scope. All in all, it’s proving difficult to price all this in,” Morrison said.- German spending plan -The European Union said on Monday the Trump administration did not appear to want to make a deal that could avoid tariffs against the 27-nation bloc.Beijing’s retaliatory duties on certain US agricultural goods came into force on Monday after Chinese products were hit with 20-percent US tariffs.Kathleen Brooks, research director at XTB trading platform, said investors were also reacting to news that Germany’s chancellor-in-waiting, Friedrich Merz, could face opposition to a massive spending plan that boosted markets last week.Germany’s Green party said on Monday it would not give the votes necessary for the constitutional changes proposed by Merz.These partially lift spending limits in defence and establish a 500-billion-euro ($540-billion) infrastructure fund.”The news that Germany’s soon-to-be chancellor might not have free reign over Berlin’s purse strings has limited euro upside for now,” Brooks said.Traders also reacted to weekend data from China showing that consumer prices fell 0.7 percent in February, the first drop in 13 months.”The data only reinforces what’s been clear for months — deflationary pressures remain firmly entrenched in the world’s second-largest economy,” said Stephen Innes at SPI Asset Management.Hong Kong and Shanghai stock markets fell, while Tokyo finished higher.- Key figures around 1335 GMT -New York – Dow: DOWN 0.9 percent at 42,417.69 pointsNew York – S&P 500: DOWN 1.4 percent at 5,689.63 New York – Nasdaq: DOWN 2.1 percent at 17,813.25 London – FTSE 100: DOWN 0.6 percent at 8,624.09Paris – CAC 40: DOWN 0.2 percent at 8,108.21Frankfurt – DAX: DOWN 1.1 percent at 22,762.85Tokyo – Nikkei 225: UP 0.4 percent at 37,028.27 (close)Hong Kong – Hang Seng Index: DOWN 1.9 percent at 23,783.49 (close)Shanghai – Composite: DOWN 0.2 percent at 3,366.16 (close)Euro/dollar: DOWN at $1.0841 from $1.0844 on FridayPound/dollar: UP at $1.2935 from $1.2925Dollar/yen: DOWN 147.02 yen from 147.97 yenEuro/pound: DOWN at 83.80 pence from 83.87 penceBrent North Sea Crude: FLAT at $70.33 per barrelWest Texas Intermediate: UP 0.1 percent at $67.09 per barrel

European and Asian stock markets mostly fell Monday, as investors feared the impact of President Donald Trump’s trade policy on the economic growth of the United States and China, the world’s biggest economies.A weak reading on Chinese consumer prices, showing they slipped back into deflation, added to growth concerns.The London, Paris and Frankfurt stock markets were all lower nearing the half-way stage, tracking losses in Hong Kong and Shanghai. Tokyo ended higher.”Unease about the effect of Trump’s tariffs hangs over financial markets at the start of the week,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.”The prospect of a recession in the US is lurking, with consumer confidence falling, companies facing increasing trade complexity and investors turning more nervous,” she added.Trump raised worries about a recession Sunday when asked by Fox News if a downturn was possible this year by replying: “I hate to predict things like that.”He added: “There is a period of transition, because what we’re doing is very big — we’re bringing wealth back to America,” noting: “It takes a little time”.Traders kept tabs also on Beijing as Chinese leaders wrap up their annual gathering where they set a 2025 annual growth target of around five percent, vowed to make domestic demand their main economic driver, and unveiled a rare hike in fiscal funding.The need for more measures to boost China’s faltering economy was highlighted at the weekend by figures showing consumer prices fell 0.7 percent in February, the first drop in 13 months.”The data only reinforces what’s been clear for months — deflationary pressures remain firmly entrenched in the world’s second-largest economy,” said Stephen Innes at SPI Asset Management.”The property sector remains stuck in the mud, domestic demand is weak, and despite a bounce in tech stocks, the broader wealth effect just isn’t filtering through to consumers.”- Key figures around 1100 GMT -London – FTSE 100: DOWN 0.5 percent at 8,637.70 pointsParis – CAC 40: DOWN 0.5 percent at 8,084.09Frankfurt – DAX: DOWN 0.9 percent at 22,810.93Tokyo – Nikkei 225: UP 0.4 percent at 37,028.27 (close)Hong Kong – Hang Seng Index: DOWN 1.9 percent at 23,783.49 (close)Shanghai – Composite: DOWN 0.2 percent at 3,366.16 (close)New York – Dow: UP 0.5 percent at 42,801.72 (close)Euro/dollar: UP at $1.0862 from $1.0844 on FridayPound/dollar: DOWN at $1.2924 from $1.2925Dollar/yen: DOWN 146.99 yen from 147.97 yenEuro/pound: UP at 84.06 pence from 83.87 penceBrent North Sea Crude: UP 0.1 percent at $70.45 per barrelWest Texas Intermediate: UP 0.1 percent at $67.12 per barrel

Food delivery firm Deliveroo said Monday that it would end operations in Hong Kong next month after striking a deal with local competitor foodpanda.The Chinese city has seen growing competition in the food-delivery services market following the 2023 entry of KeeTa, an app by Chinese e-commerce giant Meituan, which surpassed Deliveroo in order volume within a year.The British company said Monday it had “nominated liquidators to manage closure of the Hong Kong business and the remainder of its assets in the most efficient way possible”, with the platform remaining live until April 7.The firm said its “commitment to disciplined capital allocation”, along with “several dynamics specific to the Hong Kong market”, led the board to determine that it would not serve shareholders’ interests to keep doing business in the city.Deliveroo will close its operations by selling some assets to Singaporean firm foodpanda and by closing other assets, the company said in a statement.”We have been proud to serve so many people such amazing food over the past nine years,” Deliveroo chief operating officer Eric French said.Delivery Hero, the Berlin-based parent of foodpanda, confirmed that it closed an agreement to acquire “selected assets” from Deliveroo.”Deliveroo customers and couriers in Hong Kong will be redirected, and certain vendors will be onboarded to the foodpanda platform,” the firm said.- Hong Kong ‘was a laggard’ -Customers of foodpanda will be able to pick from a broader range of restaurants and grocery businesses, and vendors will benefit from access to a larger customer base, Delivery Hero said.Founded in London, Deliveroo entered the Hong Kong market in 2015 as part of its first wave of international expansion a year after foodpanda landed in the city.Deliveroo said in its 2024 interim results that Hong Kong “was a laggard amongst our major markets”, citing “a more difficult market and competitive environment”.The company said Monday that Hong Kong represented five percent of the group’s gross transaction value in 2024, and had a five percentage point negative impact on international gross transaction value growth.In contrast, Delivery Hero said in a trading update last month that it saw “strong customer growth” in Hong Kong in December.In 2021, Uber Eats ended its five-year run in Hong Kong after years of struggling to gain market share.Hong Kong’s online food delivery market is projected to reach $4.4 billion in revenue this year and $5.8 billion by 2029, according to data platform Statista.The sector has faced a steady stream of labour disputes, and the three major platforms were accused of inadequate labour protections by striking workers in March 2024.”What the delivery workers have experienced is dropping wages faster than ever” after KeeTa established market dominance, the Riders’ Rights Concern Group said in December.

Shares in Hong Kong and Shanghai sank Monday on a mixed day for equity markets after data showing Chinese consumer prices slipped back into deflation stoked fresh concerns over the world’s number two economy.The reading compounded uncertainty on trading floors as investors struggle to keep up with Donald Trump’s trade policy tinkering, while his refusal to rule out a US recession this year further rattled confidence.The president’s on-again, off-again tariff threats against Canada, Mexico, China and others have left financial markets in turmoil and consumers unsure what the year might bring.Traders are also keeping tabs on Beijing as Chinese leaders wrap up their annual rubber stamp parliament gathering where they set a 2025 annual growth target of around five percent, vowed to make domestic demand its main economic driver, and unveiled a rare hike in fiscal funding.The need for more measures to boost the faltering economy was highlighted at the weekend by figures showing consumer prices fell 0.7 percent in February, the first drop in 13 months.”The data only reinforces what’s been clear for months — deflationary pressures remain firmly entrenched in the world’s second-largest economy,” said Stephen Innes at SPI Asset Management.”The property sector remains stuck in the mud, domestic demand is weak, and despite a bounce in tech stocks, the broader wealth effect just isn’t filtering through to consumers.”Chinese retail investors might be riding the market rally, but the fact that household spending remains subdued suggests most are either tapped out or too cautious to dive into equities. A stock market pop doesn’t fix a sluggish economy overnight.”Hong Kong stocks, which have surged 20 percent this year to a three-year high, lost almost two percent and Shanghai ended off 0.2 percent.There were also losses in Singapore, Taipei, Bangkok and Jakarta, though Tokyo, Sydney, Seoul, Wellington, Mumbai and Manila rose.London, Paris and Frankfurt rose in early trade.The mixed start to the week followed a positive day on Wall Street where investors welcomed soothing comments on the economy from Federal Reserve boss Jerome Powell, which offset a slightly below par jobs data.However, there is a growing worry about the growth outlook owing to Trump’s tariffs, federal job cuts and still-high inflation.Analysts described the jobs report as unspectacular, but good enough to suggest the labour market is not weakening precipitously.The reading “shows private-sector demand for labour stayed strong just prior to the spike in economic policy uncertainty which has produced a sharp fall in business and consumer confidence”, said Ray Attrill at National Australia Bank.”As Pantheon Economics notes, it is the government sector, which added just 11,000 to payrolls last month compared to a prior six-month average of 35,000 that accounts for the modestly below-trend overall February result.””The hit to payrolls from layoffs of federal employees instigated by DOGE lies in the near future,” he added, referring to the Department of Government Efficiency run by Trump’s billionaire ally Elon Musk.Trump raised worries about a recession Sunday when asked by Fox News if a downturn was possible this year by replying “I hate to predict things like that”.He added: “There is a period of transition, because what we’re doing is very big — we’re bringing wealth back to America,” he said, adding: “It takes a little time.”- Key figures around 0800 GMT -Tokyo – Nikkei 225: UP 0.4 percent at 37,028.27 (close)Hong Kong – Hang Seng Index: DOWN 1.9 percent at 23,783.49 (close)Shanghai – Composite: DOWN 0.2 percent at 3,366.16 (close)London – FTSE 100: UP 0.1 percent at 8,686.98Euro/dollar: DOWN at $1.0823 from $1.0844 on FridayPound/dollar: DOWN at $1.2895 from $1.2925Dollar/yen: DOWN 147.57 yen from 147.97 yenEuro/pound: UP at 83.92 pence from 83.87 penceWest Texas Intermediate: FLAT at $67.05 per barrelBrent North Sea Crude: FLAT at $70.39 per barrelNew York – Dow: UP 0.5 percent at 42,801.72 (close)

Chinese tariffs on a range of US fruit, vegetables and other pantry staples took effect on Monday but locals at a lively Beijing market largely shrugged off the escalating trade war.The levies of 10 and 15 percent on American agricultural products, which also include meat, grains and cotton, were imposed after US President Donald Trump raised a blanket tariff on all Chinese goods to 20 percent last week.Vendors in a downtown market said they weren’t worried about sales despite the potential for higher prices at the check-out.”If prices go up, folks won’t eat imported stuff,” a fruit seller, surnamed Shi, told AFP.”There will be more domestic goods sold, and I think this is something folks can accept.”Shi’s offerings — from bananas and strawberries to durian and mangosteen — come from all around the world, but he said fruit grown within China typically sells better.”The freshness of our domestic products is greater than imported stuff,” the 31-year-old said.Shi said he might sell fewer US varieties while offering more options from other countries, such as Thailand and Malaysia.A steady stream of shoppers, mostly retirees, carried bags of meat and produce as they meandered through the market’s stalls. He Yulian, who was visiting her daughter in Beijing, said she was indifferent about the trade war.She said she cared only about quality, not where a product was from.”For regular folks, if we can tell something is imported from the United States, we can try to buy less of it — or not at all,” the 65-year-old from Shanxi said.- ‘Responsibility to ourselves’ -However, He said that for certain products such as milk and infant formula, she preferred imports to their Chinese versions.The Chinese public is no stranger to domestic food safety scandals.One of the most notorious involved milk adulterated with the chemical melamine, which killed six infants and poisoned hundreds of thousands of others in 2008.Beijing has pledged to do more to tighten food safety regulations in recent years but distrust lingers.In 2022, pork-processing giant Henan Shuanghui apologised after unhygienic work practices such as packaging meat that had dropped on the floor were exposed.”It’s not that we’re not patriotic,” He said. “It’s because we have a responsibility to ourselves.”Beijing’s tariffs took effect on Monday, although they will not apply to goods that left before March 10 as long as they arrive in China by April 12.Fruit seller Shi said that, while levies were being put in place by both sides, the fight would be “better for China” because domestic goods would “become more powerful”.In the short term, though, he acknowledged that everyday budgets might be hit.”You still need to buy what you need at home,” he said.”Indeed, it’s regular people who suffer the most.”

The value of art sold at auctions globally fell by a third last year compared to 2023, with the Chinese market crashing by 63 percent, auction data published on Monday showed.Artprice, a France-based consultancy which aggregates auction data from around the world, said the value of art sold in 2024 slumped to $9.9 billion (9.1 billion euros), the lowest level since 2009.All the major art hubs recorded steep falls, with New York down 29 percent, London down 28 percent and Paris down 21 percent as collectors turned cautious given global economic uncertainty.The Chinese market shrank to just $1.8 billion from $4.9 billion in 2023, underlining the weakness of the world’s second-biggest economy.”Major collectors have grown hesitant including for major artists such as Mark Rothko, Jasper Johns, Ellsworth Kelly or Jean-Michel Basquiat,” Thierry Ehrmann, founder of Artprice, told AFP.The value of Pablo Picasso sales — a leading indicator for the rest of the market — totaled $223 million in 2024, around a third of the $597 million spent on the Spanish master the previous year, the data showed.Gone are the days of endless record-breaking bids at art auctions, with the once-booming market spurred by speculator cash in decline since 2021.  That has meant some high-end sellers have postponed or cancelled planned sales, making fewer works available.In a sign of the changed climate, leading auction house Sotheby’s laid off 100 staff members — six percent of its global workforce — in December.- Cutbacks – Experts say the steep fall last year was linked to wars in Ukraine and Gaza, major elections across the globe, and higher interest rates, which raised the cost of borrowing. The Chinese economy has slowed dramatically since the Covid-19 pandemic, facing headwinds caused by a debt crisis in its real estate industry and tariffs from its trading partners. For high-net-worth buyers, “art is the first luxury that you stop buying when you need to consolidate, which is why positive economic news feeds back into the art market quite quickly”, said Lindsay Dewar from the London-based ArtTactic art market consultancy. Industry insiders are now wondering how the global market will react to Donald Trump’s presidency. Initial optimism about a “Trump bump” on stock markets has faded fast as he introduces tariffs and rows with allies.Weakening demand at the global art collector level also feeds through to primary sales — sales of work through galleries — which affect artists’ prices and income.Dewar said that her conversations with gallery owners indicated they had a “tough year” in 2024.Nevertheless, she sees reasons for optimism.The overall number of auction sales increased last year — up five percent to 800,000, according to Artprice figures — with activity at the lower end of the market for works at $50,000 or under showing robust health.And some sales are still outperforming, including a Magritte which fetched a record $121 million for the surrealist artist in November, far above the guide price of $95 million. “People do still want to trade, to buy and sell artwork. The desire is still there,” Dewar said.A portrait by an AI-powered robot of the English mathematician Alan Turing, considered one of the fathers of modern computing, also raised a million dollars at Sotheby’s in November, 10 times higher than expected.Two major upcoming auction sales will give a sense of conditions at the top-end of the market. Sotheby’s is set to sell works belonging to late New York banker Thomas A. Saunders and his wife in May, while Christie’s will put part of book mogul Leonard Riggio’s modern-art collection under the hammer in the next few months.

Scraping opium resin off a seedpod in Myanmar’s remote poppy fields, displaced farmer Aung Hla describes the narcotic crop as his only prospect in a country made barren by conflict.The 35-year-old was a rice farmer when the junta seized power in a 2021 coup, adding pro-democracy guerillas to the long-running civil conflict between the military and ethnic armed groups.Four years on, the United Nations has said Myanmar is mired in a “polycrisis” of mutually compounding conflict, poverty and environmental damage.Aung Hla was forced off his land in Moe Bye village by fighting after the coup. When he resettled, his usual crops were no longer profitable, but the hardy poppy promised “just enough for a livelihood”.”Everyone thinks people grow poppy flowers to be rich, but we are just trying hard to get by,” he told AFP in rural Pekon township of eastern Shan state.He says he regrets growing the substance — the core ingredient in heroin — but said the income is the only thing separating him from starvation.”If anyone were in my shoes, they would likely do the same.”- Displaced and desperate -Myanmar’s opium production was previously second only to Afghanistan, where poppy farming flourished following the US-led invasion in the wake of the September 11, 2001 attacks.But after the Taliban government launched a crackdown, Myanmar overtook Afghanistan as the world’s biggest producer of opium in 2023, according to the United Nations Office on Drugs and Crime (UNODC).Myanmar’s opiate economy — including the value of domestic consumption as well as exports abroad — is estimated between $589 million and $1.57 billion, according to the UNODC.Between September and February each year, dozens of workers toil in Pekon’s fields, slicing immature poppy seedpods, which ooze a small amount of sticky brown resin.Aung Naing, 48, gently transfers the collected resin from a small trough onto a leaf plate.Before the coup, which ended a brief experiment with democracy, Aung Naing was areformed opium farmer. But wartime hardship forced him back to the crop.”There is more poppy cultivation because of difficulties in residents’ livelihoods,” he says.”Most of the farmers who plant poppy are displaced,” he said. “Residents who can’t live in their villages and fled to the jungle are working in poppy fields.”In Myanmar’s fringes, ethnic armed groups, border militias and the military all vie for control of local resources and the lucrative drug trade.Aung Naing says poppy earns only a slightly higher profit than food crops like corn, bean curd and potatoes, which are also vulnerable to disease when it rains.Fresh opium was generally sold by Myanmar farmers for just over $300 per kilo in 2024, according to the UNODC, a small fraction of what it fetches on the international black market.And the crop is more costly to produce than rice — more labour intensive, requiring expensive fertilisers and with small yields.Aung Naing says he makes just shy of a $30 profit for each kilo. “How can we get rich from that?” he asks.- ‘Unsafe’ -The UN Office for the Coordination of Humanitarian Affairs estimates there are more than 3.5 million people displaced in Myanmar.But fleeing conflict zones to farm opium does not guarantee safety. “Military fighter jets are flying over us,” said Aung Naing. “We are working in poppy fields with anxiety and fear. We feel unsafe.”Opium cultivation and production in Myanmar decreased slightly between 2023 and 2024, according to the UNODC — in part due to ongoing clashes between armed groups.”If our country were at peace and there were industries offering many job opportunities in the region, we wouldn’t plant any poppy fields even if we were asked to,” says farmer Shwe Khine, 43.Aung Hla agreed. With the war, he said, “we don’t have any choice”.