Another Rough Day For The Markets


Wall Street stock indexes repeatedly swung from positive to negative territory during Tuesday's session while the Dow Jones Industrial Average had a more than 1,100-point difference between its intraday high and low.

US stocks crept higher on Wednesday as volatility eased and buyers returned to a market that is recovering from a record fall for the Dow Jones Industrial Average earlier this week.

Still, traders are bracing for more market volatility, wondering if the Fed will hike rates more than three times this year, the current target.

At the White House, where Donald Trump has staked the measure of his performance on the economy and frequently hyped the gains of 6,000 points since he took office, his press secretary, Sarah Sanders, echoed the sentiment. The technological index Nasdaq moved down бъ 0.36% to 7,215.12 points.

Stock exchanges around the globe felt ripple effects Tuesday morning from the drop on Wall Street a day earlier.

While the drops in terms of points this week have been historic, measured by percentage, the "Black Monday" crash of 1987 was much worse; the Dow dropped 22.61 percent on that day.

Some investors fear the market is over-stretched in the context of higher inflation and rising bond yields as central banks withdraw their easy money policies of recent years. The German Dax dropped 2.3 percent, while the French CAC 40 fell 2.4 percent. "They're functioning very well and we continue to believe in the long-term impact of the stock market".

In currency markets, the Canadian dollar closed at an average trading value of 79.46 cents United States, down 0.25 of a USA cent. Bond yields have spiked as analysts struggle with an increasingly volatile market.

The Dow had a more than 1,100-point difference between its high and low on Tuesday.

As of 8:56 a.m. ET, Dow Futures were indicating an opening loss of 635 points, with the S&P 500 futures indicating a 58 point loss. According to Unicredit strategists, the greater weight placed by European markets on industrial stocks and financials should see Europe better suited to weather the current financial storm. The broader index S&P 500 declined by 0.79% to 2,740.44 points. It's 10.2% drop since its January 26 record high is its biggest since a 14.2% decline ending in February 2016. The Dow soared by 5,000 points - it has never done that in a single year.

By late morning Asian time benchmark US crude had fallen 73 cents to $63.42 per barrel in electronic trading on the New York Mercantile Exchange.