On Friday, as recession fears mounted following US Fed’s aggressive policy stance, money market across the globe has been facing off an unfathomable scale of sell-off pressure, while all three key indices of Wall St.
had opened up the session sharply lower, falling over 1.3 per cent a day after having been met with a hefty whiplash. As of early-morning US trading hour, trade-sensitive Dow was trading 1.41 per cent lower to 29,640 and Wall Street bellwether S&P 500 shrugged off 1.46 per cent to 3,701.41, while tech-heavy Nasdaq was jolted as much as 1.38 per cent to 11,339.8.
Nevertheless, on Thursday, all three major indices of Wall St. had edged lower, having met with a heavy downpour for a third straight session in a row as investors stayed on their toes following the US Fed’s move to bring in another large rate-hike aimed at ailing a lacerating inflation-surge in expense of growth, eventually leading to a sharp sell-off of growth stocks.
Wall St. extends decline as recession frets grow
In the matter of the fact, latest leg of a catastrophic blow to US equity indices followed a 75-bps rate hike from US Fed on Wednesday, while traders seemed to have begun to jump on a bandwagon of a sell-off frenzy from Tuesday.
Besides, US Fed had forecasted that the US economy would grow by only 0.2 per cent this year, adding further holocaust for growth stocks. Citing statistics, on Tuesday’s market wind-down, Dow dwindled 0.35 per cent to 30,076.68 and S&P 500 shed 0.84 per cent to 3,757.99, while Nasdaq was nudged as much as 1.37 per cent to 11,066.81. .’