President Trump criticized Federal Reserve interest-rate increases and said on Tuesday a partial U.S. government shutdown wouldn’t end until Congress funded a wall along the border with Mexico, holding firm on his policy stances against the backdrop of a global economic slowdown and an extended world-wide stock plunge.

Japan’s Nikkei Stock Average fell 5% and into a bear market on Tuesday, following a 3% fall in U.S. stocks on Monday, the worst Christmas Eve trading day in history.

Mr....