March saw the largest net selling of global stocks by hedge funds in the past 12 years, according to a note published by Goldman Sachs’ Prime Desk.

Heavy selling of risk assets was observed for four consecutive sessions at the end of the month and in 15 of the 21 sessions throughout the month, the report added.

Single stocks accounted for 94% of the selling, marking the largest monthly notional net selling on record.

Global equity markets have been on a downward trend, while the safe-haven XAU/USD reached a new record high this week. The S&P 500 is down 4.2% year-to-date.

Investors have increasing concerns over a potential global trade war leading to a recession, following U.S. President Donald Trump’s plan for tariffs that would essentially apply to all countries.

The President has termed Wednesday as "liberation day," as he prepares to announce his latest round of tariffs at the White House in the afternoon. Since taking office,  Trump has announced and delayed plans to impose tariffs on foreign imports several times.

The uncertainty has caused unease in global stock markets, raised concerns among corporate executives and economists, and led to disputes with the U.S.’s largest trading partners.

"While high tariffs are likely to eventually hurt the US economy more than the rest of the world, global risk-off could still support the US Dollar Index Futures short-term," Bank of America FX strategists wrote in a client note.

As of now, no details regarding Wednesday’s plans have been disclosed. The President is scheduled to speak at 4pm ET, with White House officials stating that the implementation of the most comprehensive rewrite of U.S. trade policy would take effect immediately.