The trade conflict has intensified, with China imposing severe tariffs on U.S. goods, mirroring President Trump's aggressive tariff hikes, while Europe imposes its own retaliatory measures. Amidst this tariff turmoil, markets are plunging, the "fear gauge" spikes, and investors anxiously await the Federal Reserve's next move, hinting at potential rate cuts to counter a looming recession. To top it all, the behavior of the bond market is reminiscent of Covid days.