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Wall Street’s one-day loss tops the entire crypto market cap

The United States stock market lost more in value over the April 4 trading day than the entire cryptocurrency market is worth, as fears over US President Donald Trump’s tariffs continue to ramp up.

On April 4, the US stock market lost $3.25 trillion — around $570 billion more than the entire crypto market’s $2.68 trillion valuation at the time of publication.

Nasdaq 100 is now “in a bear market”

Among the Magnificent-7 stocks, Tesla (TSLA) led the losses on the day with a 10.42% drop, followed by Nvidia (NVDA) down 7.36% and Apple (AAPL) falling 7.29%, according to TradingView data.

The significant decline across the board signals that the Nasdaq 100 is now “in a bear market” after falling 6% across the trading day, trading resource account The Kobeissi Letter said in an April 4 X post. This is the largest daily decline since March 16, 2020.

“US stocks have now erased a massive -$11 TRILLION since February 19 with recession odds ABOVE 60%,” it added. The Kobessi Letter said Trump’s April 2 tariff announcement was “historic” and if the tariffs continue, a recession will be “impossible to avoid.”

Nasdaq, United States, Stocks

Source: Anthony Scaramucci

On April 2, Trump signed an executive order establishing reciprocal tariffs on trading partners and a 10% baseline tariff on all imports from all countries.

Trump said the reciprocal tariffs will be roughly half the rate US trading partners impose on American goods.

Related: Bitcoin bulls defend $80K support as ‘World War 3 of trade wars’ crushes US stocks

Meanwhile, the crypto industry has pointed out that while the stock market continues to decline, Bitcoin (BTC) remains stronger than most expected.

Crypto trader Plan Markus pointed out in an April 4 X post that while the entire stock market “is tanking,” Bitcoin is holding.

Nasdaq, United States, Stocks

Source: Jeff Dorman

Even some crypto skeptics have pointed out the contrast between Bitcoin’s performance and the US stock market during the recent period of macro uncertainty.

Stock market commentator Dividend Hero told his 203,200 X followers that he has “hated on Bitcoin in the past, but seeing it not tank while the stock market does is very interesting to me.”

Meanwhile, technical trader Urkel said Bitcoin “doesn’t appear to care one bit about tariff wars and markets tanking.” Bitcoin is trading at $83,749 at the time of publication, down 0.16% over the past seven days, according to CoinMarketCap data.

Magazine: XRP win leaves Ripple a ‘bad actor’ with no crypto legal precedent set

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Bank of England pledges to keep pace with US on stablecoin regulations

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Bank of England pledges to keep pace with US on stablecoin regulations

Bank of England pledges to keep pace with US on stablecoin regulations

The UK’s top bank says it will roll out stablecoin rules “just as quickly as the US” amid concerns that it’s lagging behind global allies.

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Police chiefs warn of crime surge if Labour’s plans pass – as hunt for mistakenly released prisoners continues

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Police chiefs warn of crime surge if Labour's plans pass - as hunt for mistakenly released prisoners continues

Police are preparing for a surge in crime if the Labour government’s plans to overhaul prison sentences go ahead – with hundreds of thousands more offences expected in a year.

Measures proposed under the Sentencing Bill, intended to ease overcrowding in prisons, include limiting the use of short prison sentences and releasing some convicted criminals earlier.

However, police chiefs are warning such measures could see up to a 6% rise in crime in the immediate aftermath, should the plans become law.

It comes as a manhunt is under way for two prisoners mistakenly released from HMP Wandsworth, including Brahim Kaddour-Cherif, a 24-year-old Algerian man and registered sex offender, and 35-year-old William Smith.

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Manhunt underway: what do we know so far?

‘It has to be properly funded’

Assistant Chief Constable Jason Devonport, who spent 18 months on secondment as a prison governor at HMP Berwyn, said forces are planning for an increase in all types of offences.

While he said community programmes to support rehabilitation “are being ramped up,” he warned officers “expect, certainly in the short term, there will be an increase of offending in the community”.

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“I believe in the Sentencing Bill and I believe in rehabilitation,” he added, “but it has to be properly funded.”

ACC Devonport said the probation service is trying to recruit 1,500 officers a year for the next three years to manage demand, and that the rise in police-recorded crime in one year is expected to be between 4% and 6%.

In the year to June 2025, police in England and Wales recorded 6.6 million offences. A rise of 6% would then equal around 396,000 additional recorded crimes.

Gavin Stephens, chairman of the National Police Chiefs’ Council, added that officers have “all been in policing long enough to know that some of the things that help people stop offending or desist from offending are not going to be resolved by short sentences in particular”.

However, he added: “Our issue is in the short-term period of the implementation, there is a shift of demand on to policing, and we want that shift of demand on to us to be properly recognised and properly modelled… so we can have the right and appropriate resource in there to mitigate the risk to communities.”

Feeble and inept – prison release fiasco is yet another political crisis


John Craig

Jon Craig

Chief political correspondent

@joncraig

The charitable view of the latest prison release blunder that has plunged the government into another political crisis is that it’s extremely bad luck rather than an act of incompetence by ministers.

But the more we learn about the shocking details of what happened and what looks like a cynical attempt at a cover-up by the hapless David Lammy, the more the blame can be laid at the government’s door.

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Prison system at ‘breaking point,’ warns MP

In a further warning about the state of law and order in the UK, the chair of the Justice Committee has said the prison system is at “breaking point”.

Labour MP Andy Slaughter called the latest releases from HMP Wandsworth “extremely concerning,” adding: “While the day to day running of prison security and public safety are paramount, the current spate of releases in error will be repeated until the underlying failures are addressed.”

He also said evidence taken by the committee “laid bare a crisis-hit prison system, starved of investment over many years which is facing multi-faceted pressures”.

What do we know about the manhunt?

The south London prison admitted on Wednesday that Kaddour-Cherif, who sentenced for trespass with an intent to steal, was accidentally released on 29 October.

His release came just five days after the high-profile release of migrant sex offender Hadush Kebatu from HMP Chelmsford in Essex.

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Lammy refuses to say if more prisoners mistakenly released

Hours after Kaddour-Cherif’s accidental release was confirmed by the Met, Surrey Police announced it was also searching for Smith after another error by prison staff.

The 35-year-old, who was sentenced to 45 months for multiple fraud offences and goes by the name Billy, had apparently been released on Monday.

It is not yet clear why it was nearly a week between the first release at Wandsworth and the police being informed that an offender was at large.

Both mistakes follow vows by Deputy Prime Minister and Justice Secretary David Lammy that enhanced checks on prisoner releases would be introduced.

He came under fire while standing in for Sir Keir Starmer at PMQs, but sought to blame the Conservatives, saying: “In 25 years in this House, I have not witnessed a more shameful spectacle frankly than what the party opposite left in our justice system.”

Read more from Sky News:
Nearly 40,000 freed early to tackle prison overcrowding
How many prisoners are released by mistake?
Driver hits several people on holiday island

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Lammy has ‘egg on his face’, former prison governor says

In response to concerns of a spike in crime should the Sentencing Bill become law, a Ministry of Justice spokesperson said the government “inherited a prison system in crisis, days away from running out of space”.

“Public safety will always be our top priority, and we are building 14,000 more prison places to keep dangerous offenders locked up,” they added.

“Offenders released face strict licence conditions, and we are increasing the probation budget by an extra £700 million over the next three years and investing in new technology to reduce admin, so staff can focus on work that reduces reoffending.”

And in response to the manhunt for the two released convicts, a spokesperson said: “Releases in error have been increasing for several years and are another symptom of a justice system crisis inherited by this government.”

They added: “We are clear that these mistakes must not continue to happen.”

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Nvidia boss defends AI against claims of bubble by ‘Big Short’ investor

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Nvidia boss defends AI against claims of bubble by 'Big Short' investor

Nvidia boss Jensen Huang has told Sky News the AI sector is a “long, long way” from a Big Short-style collapse.

Speaking outside Downing Street following a roundtable with government and other industry figures, the head of the world’s first $5tn company defended his sector from criticism by investor Michael Burry.

Mr Burry and his firm, Scion Capital, gained notoriety for “shorting” – betting against – the US housing market ahead of the 2008 financial crash.

Politics latest: Lammy to take deputy PMQs

He was portrayed by Christian Bale in the 2015 film The Big Short, which also starred Steve Carell, Brad Pitt and Ryan Gosling.

Earlier this week, filings revealed Mr Burry has now bet against Nvidia and on social media, he has suggested there is a bubble in the sector.

Some $500bn was wiped off technology stocks overnight Tuesday into Wednesday, Bloomberg reported.

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Speaking to Sky News, Mr Huang said: “I would say that we’re in the beginning of a very long build out of artificial intelligence.”

Christian Bale portrayed Michael Burry in the 2015 hit film. Pic: Reuters
Image:
Christian Bale portrayed Michael Burry in the 2015 hit film. Pic: Reuters

Defending his company and investment, Mr Huang said AI is the first technology that requires “infrastructure to be built” and that Nvidia has seen “great returns” from AI, and that is why it is expanding.

Mr Huang said better training of AI has led to much “better” and “useful” answers, and that means “the AIs have become profitable”.

“When something is profitable, the suppliers want to make more of it, and that’s the reason the infrastructure build out is accelerating,” he added.

Pushed on whether he was worried about a situation like the Big Short, Mr Huang said: “We are long, long away from that.”

The UK government is betting big on AI in the hopes that it can save money by using it and generate growth by building the infrastructure to back it up.

Asked if she was worried about the market, Technology Secretary Liz Kendall told Sky News: “I have no doubts that AI is going to transfer all parts of our economy and our public services.”

Mr Burry and his firm, Scion Capital’s bets against Nvidia and other companies were revealed by regulatory filings earlier this week.

The investor also posted on social media for the first time in more than two years, warning of a bubble.

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Concerns have been raised about the market surrounding AI, and the growth many companies are experiencing.

Nvidia is the largest producer of the specialist computer chips that are used to train and use AI models.

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