‘Signs of panic’: Companies with biggest slumps on ASX 200 revealed

A sell-off has smashed the ASX 200 on Monday, but experts warn the local bourse still has further to fall.

The ASX 200 is tipped to plummet again on Tuesday as investors continue to factor in the likelihood of a global recession.

Fears of a global recession have been on the rise throughout the last week, as US President Donald Trump refuses to step away from his tariff policy.

IG market analyst Tony Sycamore said investment banks are now factoring in up to a 60 per cent chance the United States goes into a recession.

“The old saying goes, when the US sneezes the world catches a cold,” he said.

Mr Sycamore added the Chinese economy is already in a “tight situation” with the US adding trade barriers creating a “dire situation” for world markets.

“We can certainly have two quarters of negative growth in Australia if the tariffs continue on,” he said.

“Remember Australia’s growth wasn’t particularly flash before the tariffs, so it wouldn’t take much to tip it back down towards potentially negative growth.”

Mr Sycamore says it is becoming a dire situation if Trump doesn’t change his mind of tariffs.

“Right now I think we are probably 75 to 80 per cent priced for the worse but there’s further to go if we aren’t going to make U turn on Trump’s policies,” he said.

Everyday Aussies and investors have seen their wealth plummet as a market-sell off continued on Monday.

The ASX 200 closed sharply lower on Monday plummeting 324.50 points or 4.23 per cent to 7,343.30.

No sector was spared with all 11 trading in the red, including the more defensive parts of the markets such as consumer staples stocks.

Australia’s major banks recovered throughout the day, although were still smashed.

CBA slumped 6.02 per cent to $144.77 by 4pm while NAB flopped 4.48 per cent to $32.19, ANZ cratered 5.18 per cent to $26.72 and Westpac is heavily in red down 5.36 per cent lower at $29.33.

Household names including BHP fell more than 5.78 per cent to $34.69, while Ampol cratered 6.89 per cent to $21.03.

The ASX cratered on the back of global recession fears. Picture: NewsWire / Max Mason-Hubers

Shares in buy now pay later services Zip were smashed, down 8.17 per cent to $1.18 with much of its operations in the United States. Major competitor Block, which owns Afterpay, also slumped, down 8.84 per cent to $76.58.

Even the safe haven of the gold miners are being hit with Evolution down 8.15 per cent to $6.42

Despite the bloodbath on the ASX 200, Capital.com senior financial market analyst Kyle Rodda said the ASX held up compared with other Asian markets.

However, the big moves were in the broader region. The Hang Seng was down by as much as 11 per cent and the Nikkei and mainland Chinese indices were off by 6 per cent — with several hours left in trade.

The falls come as US President Donald Trump has added the highest average tariff rate in the US in 110 years.

The ASX 200 is hurtling toward a bear market, having fallen 16 per cent from its high of daily of 8155.5 two months ago.

CommSec urged patience amid ‘high trading activity,’ with the big four bank calling Monday morning trading “particularly busy right now”.

“We’re experiencing high trading activity and call volumes through our contact centres,” a notice on its trading site says.

“You may experience a delay loading market data on our website, and may have to wait longer than usual to speak to someone. Thank you for your patience.”

The message follows users of NabTrade being temporarily locked out of their accounts.

Capital.com senior financial market analyst Kyle Rodda said there have been signs of panic in the opening hour of trading

The market has fallen more than 6 per cent on the open. Picture: NewsWire / Max Mason-Hubers

“The markets are set for an ugly start to the week after the panic gripping Wall Street deepened on Friday night. We’ve had the first tat to the US’s tit, with China announcing retaliatory tariffs on the United States – something the US has threatened would only invite even higher tariffs,” Mr Rodda said.

“The firing gun for the race to the bottom on global trade has been fired and market participants are hoping that it will be a false start and the whole event will eventually be called off.”

The horrid day on the market followed falls in the United States, as investors fear a global recession.

The Dow Jones Industrial Average slumped 2,231.07 points, or 5.5 per cent, to 38,314.86 on Friday, the biggest decline since June 2020 during the Covid-19 pandemic.

It was a similar story on the S & P 500 which nosedived 5.97 per cent per cent to 5,074.08, the biggest decline since March2020 and the tech heavy Nasdaq composite fell 5.8 per cent to 15,587.79.