World stocks slide as Trump's Fed attacks jangle nerves

Asian equities and US stock futures have slid while the dollar slumped, as anxiety over tariffs and public criticism of the Federal Reserve by President Donald Trump hit sentiment, leading gold prices to a new high.

Trump launched a series of attacks against Fed Chair Jerome Powell on Thursday, with his team evaluating whether they could fire Powell, a move that has great consequence for the central bank's independence and for global markets.

Most markets were closed on Friday and some remain on holiday for Easter Monday.

S&P 500 futures fell 0.64 per cent and Nasdaq futures eased 0.53 per cent on Monday. In Asia, Japan's Nikkei fell one per cent while South Korea's benchmark index was steady.

"Markets are already on edge due to escalating geopolitical tensions, and now concerns are rising that Trump's potential interference with the Fed could add another layer of uncertainty," said Charu Chanana, chief investment strategist at Saxo in Singapore.

"Any signs of political pressure on monetary policy could undermine the Fed's independence and complicate the path ahead for interest rates just as investors are looking for stability amid global volatility."

Trump's tariffs have roiled financial markets and triggered a violent sell-off in Treasuries and the dollar that cast fresh doubt on the long-held belief in the safe-haven status of US assets.

The shaky confidence in US assets has been exacerbated by Trump's attacks on the Fed, with the dollar crumbling against most other currencies. The euro touched a three-year high, while the yen was at a seven-month peak.

The Swiss franc strengthened 0.6 per cent against the dollar and was hovering near the 10-year peak it touched earlier in April.

Chicago Federal Reserve President Austan Goolsbee said on Sunday that he hopes the US is not moving to an environment where the ability of the central bank to set monetary policy independent of political pressure is questioned.

The yield on the benchmark US 10-year Treasury note rose three basis points to 4.358 per cent in early Asian hours.

With the US earnings season kicking off, investor focus this week will be on results from tech giant Alphabet, chipmaker Intel and EV maker Tesla.

All the Magnificent Seven megacap stocks are sharply lower in 2025, with Alphabet down about 20 per cent and Tesla off 40 per cent.

Companies and investors are grappling with a tariff landscape poised to keep shifting as the Trump administration negotiates with other countries.

While Trump has paused some of the heftiest levies on imports, the US is also locked in a trade battle with China, the world's second-largest economy.

Trump said on Friday the US is having good conversations privately with China amid the two countries' trade war. But China's ambassador to the US has said it should show respect before any talks can take place.

In commodities, gold prices surged more than one per cent to touch a record high of $US3,370.17 per ounce, taking its gains so far this year to 26 per cent. The yellow metal has been consistently hitting record highs this year, buoyed by safe haven flows.