Stock Market Is Set to Plunge Again At Open

The market's slump began on Friday as investors anxious that creeping signs of higher inflation and interest rates could derail the market's record-setting rally. The crash known as "Black Monday" in 1987 saw a drop in the Dow of 508 points.

Why is it called the Dow Jones Industrial Average? . The S&P 500 gained 19.12 points, or 0.70 percent, to 2,714.26 and the Nasdaq Composite increased 22.72 points, or 0.32 percent, at 7,138.60.

Trading has been turbulent all day.

Often referred to as the Dow, the Dow Jones Industrial Average or DJIA, is the oldest and most watched indices in the world, according to Investopedia.

The pan-European FTSEurofirst 300 index lost 1.51 percent and MSCI's gauge of stocks across the globe shed 2.96 percent. That's less than the 10 per cent seen as a correction. He said the market was a long way from turning into a bear market, a period when the market pulls back 20 percent from its record high.

"The declines in markets are steep and vicious and are fostering a feeling of fear which begets irrational behavior".

Meanwhile, the S&P 500 lost one per cent to 2,622 points. Ethereum, at $727, was down 36 percent week over week. The yield on the 10-year Treasury note rose to 2.80 per cent from 2.71 per cent.

The market's sharp drop began on Friday as investors anxious that creeping signs of higher inflation might push the U.S. Federal Reserve to raise interest rates more quickly, which could slow down economic growth by making it more expensive for people and businesses to borrow money. Higher rates act like a brake on the economy by slowing down borrowing and lending.

"People are dealing with the shock of seeing real inflation for the first time in a while", said Bruce McCain, chief investment strategist at Key Private Bank.

He said it seemed that markets appeared to rally as soon at the European stock markets closed around 11:30 a.m.

The downturn may have been accelerated by the widespread use of exotic, leveraged securities that lose value when market volatility spikes, as it has in recent days. Unemployment is at an 18-year low, wages are up, and healthy corporate earnings continue to pour in.

The US indices ended the trading session on red territory. Brent crude, the benchmark for global oil prices, rose 54 cents to $67.40 a barrel in London.

Australia's S&P/ASX 200 was up 1.0 per cent at 5,889.60. Natural gas added 1 cent to $2.76 per 1,000 cubic feet. If the stocks are doing well, the markets are referred to as being "up". Spot gold was down 1.0% at $1,326.51 an ounce. Hong Kong was down more than four percent and Sydney and Singapore each sank three percent. Eastern Time. The DAX index in Germany fell 294 points, while the FTSE 100 in England plummeted 193 points.

In other commodities trading, copper fell 3 cents to $3.19 a pound.

  • Zachary Reyes