Behind the slides have been concerns over the Ukraine-Russia war, soaring inflation, higher interest rates and, more recently, a possible US recession.
Adding to jitters Thursday, a Commerce Department report showed US consumer spending rose less than expected in May. “Inflation is not something that we don’t have to worry about anymore. It is expected to be with us for quite sometime,” said Sam Stovall, chief investment strategist at CFRA in New York.
The Dow Jones Industrial Average fell 253.88 points,or 0.82%, to 30,775.43, the S&P 500 lost 33.45 points, or 0.88%, to 3,785.38 and the Nasdaq Composite dropped 149.16 points, or 1.33%, to 11,028.74.The pan-European STOXX 600 index lost 1.5% and MSCI’s gauge of stocks across the globe shed 1.12%.The Fed’s hawkishness and an investor desire for liquidity in difficult times have helped support the US dollar.