13.1 C
New York

Wall St. Poised for Modest Rebound Amid Economic Pressures


Stock indexes across Europe opened higher but then slumped, and were down by about 1 percent by late morning. The Stoxx Europe 600 fell 1.2 percent, after climbing as much as 1 percent, extending its losses right into a sixth consecutive day. The index was at its lowest level since March 2021. The FTSE 100 in Britain declined 1 percent and the DAX in Germany fell 0.9 percent.

“Investors are only re-evaluating global risk,” said Bruce Pang, a Hong Kong-based analyst with China Renaissance Securities. “They need to play it protected.”

On Tuesday, government bond yields retreated from their recent highs. The yield on 10-year U.S. Treasury notes fell to three.30 percent. The day before as stocks plunged, the yield jumped to three.36 percent, the best since 2011.

At the identical time, cryptocurrencies continued their decline amid a series of market crashes. On Monday, Celsius Network, an experimental cryptocurrency bank, froze withdrawals, panicking depositors. Bitcoin slumped to its lowest since 2020. By early morning in Recent York, it fallen 7 percent prior to now 24 hours, in keeping with CoinMarketCap.

Investors have been attempting to make sense of what’s happening in the worldwide economy.

The World Bank issued a grim warning last week, saying recession shall be hard for a lot of countries to avoid. On Monday, the credit standing firm Fitch cut its 2022 forecast for global gross domestic product, or G.D.P., to 2.9 percent, from a March estimate of three.5 percent. These are only the newest in a series of world economic downgrades as Russia’s protracted war in Ukraine strains already stretched global supply chains, disrupts trade and pushes up the costs of oil, wheat, metals and other essential commodities.

As inflation surges, central banks all over the world from Australia to Canada have been moving to lift rates. On Thursday, the Bank of England is anticipated to lift its benchmark rate for a fifth consecutive meeting. Last week, the European Central Bank said it might raise its rates next month for the primary time in greater than a decade.

Get the latest Sports Updates (Soccer, NBA, NFL, Hockey, Racing, etc.) and Breaking News From the United States, United Kingdom, and all around the world.

Related articles


Recent articles