The National on Nostr: US stocks slump as recession fears re-emerge ========== US stocks tumbled on Friday ...
US stocks slump as recession fears re-emerge
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US stocks tumbled on Friday after a jobs report stoked new fears that the economy could be headed for a recession; The Dow Jones Industrial Average fell more than 900 points in morning trading; The S&P 500 fell 2.37 per cent, while the Nasdaq Composite fell by 3.14 per cent, putting it in correction territory as it has lost 10 per cent from its recent record high; The price of gold rose 1.30 per cent to $2,513.00 per ounce; The sell-off came as the US Labour Department reported a softening employment market, with the US economy adding 114,000 jobs last month, down from 179,000 in June and well below economists' expectations of 185,000; The unemployment rate unexpectedly ticked up to 4.3 per cent, its highest level since October 2021; The latest unemployment rate triggered the so-called Sahm Rule indicator, which says that a recession is nearly under way if the three-month average unemployment rate increases by half a percentage point from its low point in the past 12 months; Federal Reserve Chair Jerome Powell called it a “statistical regularity” and said that the Fed is well-positioned to respond if the labour market shows signs of more than just normalizing; Markets have all but locked in a September rate cut, with 62.5 per cent of traders anticipating the Fed will cut rates by 50 basis points; There are concerns that the Fed could hold interest rates steady for too long, threatening its hopes of achieving a so-called soft landing; Friday's losses followed a Thursday session in which the Dow and S&P 500 each fell more than 1 per cent after a weak ISM manufacturing report sparked fears the Federal Reserve may be late in cutting interest rates.
#UsStocks #Recession #JobsReport #DowJones #S&p500 #NasdaqComposite #GoldPrice #UnemploymentRate #FederalReserve #InterestRates
https://www.thenationalnews.com/business/markets/2024/08/02/us-stocks-recession-fears/
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US stocks tumbled on Friday after a jobs report stoked new fears that the economy could be headed for a recession; The Dow Jones Industrial Average fell more than 900 points in morning trading; The S&P 500 fell 2.37 per cent, while the Nasdaq Composite fell by 3.14 per cent, putting it in correction territory as it has lost 10 per cent from its recent record high; The price of gold rose 1.30 per cent to $2,513.00 per ounce; The sell-off came as the US Labour Department reported a softening employment market, with the US economy adding 114,000 jobs last month, down from 179,000 in June and well below economists' expectations of 185,000; The unemployment rate unexpectedly ticked up to 4.3 per cent, its highest level since October 2021; The latest unemployment rate triggered the so-called Sahm Rule indicator, which says that a recession is nearly under way if the three-month average unemployment rate increases by half a percentage point from its low point in the past 12 months; Federal Reserve Chair Jerome Powell called it a “statistical regularity” and said that the Fed is well-positioned to respond if the labour market shows signs of more than just normalizing; Markets have all but locked in a September rate cut, with 62.5 per cent of traders anticipating the Fed will cut rates by 50 basis points; There are concerns that the Fed could hold interest rates steady for too long, threatening its hopes of achieving a so-called soft landing; Friday's losses followed a Thursday session in which the Dow and S&P 500 each fell more than 1 per cent after a weak ISM manufacturing report sparked fears the Federal Reserve may be late in cutting interest rates.
#UsStocks #Recession #JobsReport #DowJones #S&p500 #NasdaqComposite #GoldPrice #UnemploymentRate #FederalReserve #InterestRates
https://www.thenationalnews.com/business/markets/2024/08/02/us-stocks-recession-fears/