US stocks close lower amid inflation concerns

0

US stocks close lower amid inflation concerns | Invezz

Ad disclosure

Invezz is an independent platform with the goal of helping users achieve financial freedom. In order to fund our work, we partner with advertisers who compensate us for users that Invezz refers to their services. While our reviews and assessments of each product on the site are independent and unbiased, brands may pay to appear higher up our table rankings or place ads in specific areas of the site. The order in which products and services appear on Invezz does not represent an endorsement from us, and please be aware that there may be other platforms available to you than the products and services that appear on our website. Read more about how we make money >

By:

Benson Toti

on
Jun 8, 2022

Dow closed 269 points lower, while the S&P 500 fell 1% and Nasdaq shed 0.7% on Wednesday.

Stocks have retreated amid investor concerns over inflation and economic slowdown.

Oil prices rose to a 13-week high as the market expects a spike in demand.

US stocks gave up gains on Wednesday to close lower as the market weighed inflation trends and negative sentiment over the economy. After gains over the first two days of the week, the Dow Jones Industrial Average dropped 269.24 points, losing 0.8%.

The flip also saw the S&P 500 decline 1%, and the Nasdaq Composite shed 0.7% as the indexes teetered ahead of key inflation data later in the week.


Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

Economist and Wharton professor Mohamed El Erian says the Fed has been “incredibly slow” to act on inflation.  

The Fed hasn’t been late when it comes to pumping liquidity… when it comes to making the difficult decision, this Fed in general has been incredibly slow,” he told CNBC. “If I were fully invested right now, I would take some chips off the table.”

The market is also not helped by the fact that the 10-year US Treasury yield rose again to hit above 3%, currently 6 basis points up at 3.029%.

Elsewhere in the market, oil prices rose by more than 2% to hit a 13-week high, with Brent crude hitting $123.36 a barrel and WTI crude rising to $122.41 a barrel. The jump in oil prices follow expectations of increased demand in China.

Gold rose marginally to $1,885.80 per ounce, while Bitcoin was holding above $30,000, down about 2% in the past 24 hours.

Among individual stocks, Robinhood shares tanked 3.9% in a late afternoon downturn after SEC chair Gary Gensler announced rule change proposals to overhaul Wall Street’s trade execution of retail trades.

Invest in crypto, stocks, ETFs & more in minutes with our preferred broker,
Capital.com

9.3/10

75.26% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Visit site

Stocks & Shares

Generated by Feedzy