Concerns over the China-Europe trade war and a wave of Japanese government bond sell-offs pushed up U.S. Treasury yields, leading to a sharp decline in the U.S. stock market. The S&P 500 index fell by 2.05%, erasing all gains since the beginning of the year; the Nasdaq 100 index dropped by 2.08%. The VIX volatility index surged above 20, reaching its highest level since November of last year.