Wall St. ends sharply lower amid weak economic recovery, mounting pandemic cases

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Wall St. ends sharply lower amid weak economic recovery, mounting pandemic cases

On Wednesday, all three key indices of Wall St. had been lavishly languished and had witnessed their biggest intra-session plunge in roughly two weeks, as an uptick in pandemic cases in the United States stoking frets of a second wave of pandemic outbreak that it effect could force the Trump Administration to close the economy again, had been leading to a nefarious market nightmare.

In point of fact, after the United States, the world’s largest economy since 1871, had logged its second-largest spike in pandemic cases on Wednesday, worries rekindled over a quicker economic turnaround, while an upsurge in pandemic cases across the heavily populated areas across the globe had added to further strains, though a number of analysts were quoted saying that the frets of a second wave of pandemic would unlikely to last longer considering the scale of U-turn the bloc’s economy had experienced over the past couple of months.

Besides, top Italian health officials were also quoted saying last month that the pandemic pathogen had been losing its strength.

Panic-driven sell-off snaps Nasdaq’s eight-day long winning streak

Apart from a rise in pandemic cases, dour economic data had also weighed on Wednesday’s Wall St., while the Washington-based ELFA was quoted saying that the US Business Borrowing for equipment fell by 26 per cent in May on a year-on-year basis and by 71 per cent on a monthly basis.

Citing statistics, on the day’s Wall St. closure, the trade-sensitive Dow faltered by 2.72 per cent to 25,445.94 following a reignition of EU-US trade spat over added tariff on EU-based products and the benchmark Standard & Poor 500 had shrugged off 2.59 per cent to 3,050.33, while the tech-heavy Nasdaq Composite was tottered 2.19 per cent to round off the day at 9,909.17.

Meanwhile, referring to a panic-driven sell-off wave in the Wall St., a Chief Market strategist at National Securities in New York, Art Hogan said on the day’s closing bell, “Today was finally the day markets came to terms with the fact that increasing COVID-19 cases could mean a slower recovery in the economy.