Dow Tumbles Nearly 400 Points, Notching Biggest One Day Drop Since March
- 7 months ago
Dow Tumbles Nearly 400 Points, Notching Biggest One-Day Drop Since March
The Dow Jones Industrial Average experienced its biggest one-day drop since March, falling 388 points or 1.1%.
This decline was triggered by concerns about the US economy's uncertain future and the possibility of further interest rate hikes from the Federal Reserve.
The benchmark S&P 500 index also slid 1.5%, reaching its lowest close since June.
The Nasdaq Composite lost 1.6%.
Despite this drop, the stock market remains in a bull market, as it would need to fall 20% from its peak to enter bear territory.
The release of economic data added to the market's unease.
New home sales fell 8.7% in August from July, while US home prices climbed to a record high in July.
The tight supply of homes continues to drive up prices, which could influence the Federal Reserve's decision to keep interest rates higher for longer.
Investors have been on edge since the Fed indicated it could hike interest rates once more this year and delay rate cuts.
This uncertainty has led to a decrease in market confidence, as reflected by CNN's Fear & Greed Index reaching its lowest level since March.
Oil prices gained on Tuesday, with West Texas Intermediate crude futures rising to roughly $90 a barrel and Brent crude climbing to $94 a barrel.
JPMorgan Chase CEO Jamie Dimon's statement about preparing for a 7% interest rate scenario further spooked investors.
Additionally, the possibility of a government shutdown as the fiscal year's end approaches without any spending deal adds to the market's concerns.
The stock market is experiencing a losing week and month, with all three major indexes heading for a decline.
The market's reaction to economic data, interest rate uncertainty, and other factors has contributed to the recent plunge.
As the trading day settles, slight changes in levels may occur.
#latestnews #news #cnn
The Dow Jones Industrial Average experienced its biggest one-day drop since March, falling 388 points or 1.1%.
This decline was triggered by concerns about the US economy's uncertain future and the possibility of further interest rate hikes from the Federal Reserve.
The benchmark S&P 500 index also slid 1.5%, reaching its lowest close since June.
The Nasdaq Composite lost 1.6%.
Despite this drop, the stock market remains in a bull market, as it would need to fall 20% from its peak to enter bear territory.
The release of economic data added to the market's unease.
New home sales fell 8.7% in August from July, while US home prices climbed to a record high in July.
The tight supply of homes continues to drive up prices, which could influence the Federal Reserve's decision to keep interest rates higher for longer.
Investors have been on edge since the Fed indicated it could hike interest rates once more this year and delay rate cuts.
This uncertainty has led to a decrease in market confidence, as reflected by CNN's Fear & Greed Index reaching its lowest level since March.
Oil prices gained on Tuesday, with West Texas Intermediate crude futures rising to roughly $90 a barrel and Brent crude climbing to $94 a barrel.
JPMorgan Chase CEO Jamie Dimon's statement about preparing for a 7% interest rate scenario further spooked investors.
Additionally, the possibility of a government shutdown as the fiscal year's end approaches without any spending deal adds to the market's concerns.
The stock market is experiencing a losing week and month, with all three major indexes heading for a decline.
The market's reaction to economic data, interest rate uncertainty, and other factors has contributed to the recent plunge.
As the trading day settles, slight changes in levels may occur.
#latestnews #news #cnn