Dow futures fell nearly 200 points, indicating Wall Street will be lower today. This is the first trading day of the third quarter and the second half of 2022.
Wall Street will be closed on Monday, July 4, for the United States Day.
As of 7:08 p.m. Thai time, the Dow Jones Industrial Average dropped 186 points or 0.6% to 30,595 points.
The Dow fell 11.3% in the second quarter, while the S&P 500 sank more than 16%, posting its worst quarterly decline since the first quarter of 2020. The Nasdaq sank 22.4%, its worst quarterly record since the first quarter of 2020. 2008
The Dow is down more than 15% in the first half, while the S&P 500 is down more than 20 percent, its biggest drop in more than 50 years since 1970, while the Nasdaq sank nearly 30 percent.
Wall Street stocks have been under pressure this year. Amid concerns about inflation and concerns that the US economy will face a recession as the Federal Reserve (Fed) has accelerated its interest rate hikes to curb inflation.
The fact that the US economy will face a recession is imminent. After the Atlanta Fed revealed, its latest GDPNow forecast model shows that The US economy is expected to contract 1.0 percent in the second quarter, from 0.3% previously suggested.
The forecast has raised concerns about a recession in the United States. After the US Department of Commerce revealed that Gross domestic product (GDP) for the first quarter contracted 1.6%, which if the US economy continues to contract in the second quarter, the US will enter a recession. because the economy contracted for 2 consecutive quarters
Fed Chairman Jerome Powell confirmed that The Fed is committed to curbing inflation. Although the use of a tightening monetary policy will slow down economic growth. But it will not create a serious risk.
“We are committed to using all the tools we have to bring inflation down. This action is to reduce economic expansion. which despite the risk But I don’t see this as the biggest risk to the economy. One of the more likely mistakes is the failure to stabilize against prices,” Powell said at the European Central Bank (ECB) annual meeting in Portugal this week.
