Stocks slumped and bond yields moved sharply higher after a hot reading on inflation led to greater expectations that the Federal Reserve will have to move forcefully to cool down the economy by raising interest rates
Stocks slumped and bond yields moved sharply higher after a hot reading on inflation led to greater expectations that the Federal Reserve will have to move forcefully to cool down the economy by raising interest rates.
The yield on the 10-year Treasury jumped above 2% for the first time since the summer of 2019. That came after the government reported that consumer prices rose at an annual rate of 7.5% last month, the fastest pace since 1982. The big swings marked a return of the volatility that has shaken markets in recent weeks.
On Thursday:
The S&P 500 fell 83.10 points, or 1.8%, to 4,504.08.
The Dow Jones Industrial Average fell 526.47 points, or 1.5%, to 35,241.59.
The Nasdaq fell 304.73 points, or 2.1%, to 14,185.64.
The Russell 2000 index of smaller companies fell 32.34 points, or 1.6%, to 2,051.16.
For the week:
The S&P 500 is up 3.55 points, or 0.1%.
The Dow is up 151.85 points, or 0.4%.
The Nasdaq is up 87.63 points, or 0.6%.
The Russell 2000 is up 48.80 points, or 2.4%.
For the year:
The S&P 500 is down 262.10 points, or 5.5%.
The Dow is down 1,096.71 points, or 3%.
The Nasdaq is down 1,459.33 points, or 9.3%.
The Russell 2000 is down 194.15 points, or 8.6%.
Source: abcNEWS
