Recession fears oil price pressure and US stock plummet (Getty)
Despite a good start, US stocks fell on Friday on fears US economy In a recession, to end relationships tough weekwitnessed violent volatility, with a new warning to investors, as the Nasdaq index hit its lowest levels in 2022.
During Friday’s trading, the Dow Jones Industrial Average lost more than four hundred points, or 1.34% of its value, and the S&P 500 index fell 2.37%, while the Nasdaq’s losses exceeded , most affected by changes in the exchange rate. Benefitmore than 3% of its value.
Data released Friday morning impacted investor expectations as the University of Michigan showed improvement in consumer sentiment this month, which was considered encouraging for the Federal Reserve to keep interest levels high for extended periods of time. .
On Thursday, the Bureau of Labor Statistics said the Consumer Price Index, the Fed’s preferred measure of the nation’s inflation rate, rose more than expected in September.
Stock trading on Thursday saw large fluctuations, as the difference between the high and low points of the Dow Jones Industrial Average recorded more than 1,500 points, while the difference between them in the S&P 500 was the fifth largest in history. of the index which has exceeded six decades.
In a related context, oil prices fell more than 3% during trading on Friday, with growing fears that the global economy, especially China, will enter a global recession, reducing the demand for black gold.
News agency Reuters said Brent crude futures fell $ 2.94, or 3.1%, to $ 91.63 a barrel, while US West Texas Intermediate crude futures fell $ 91.63 per barrel. $ 3.50, or 3.9%, to $ 85.61.
Both Brent and West Texas Intermediate contracts have been swinging between highs and lows for most of today’s session, but the former fell 6.4% during the week and the latter 7.6%.
The dollar index was up about 0.8%, and Reuters says the dollar’s rise reduces demand for oil by making fuel more expensive for buyers using other currencies.
On Thursday, the International Energy Agency cut its oil demand forecast for this year and next, warning of a possible global recession.
