Connect with us

Hi, what are you looking for?

Investment Insight Daily Economy News

Global Stock Market Crash 2023: Wall Street Drifts Lower

Global Markets Extend Losses as Wall Street Drifts Lower

Global markets experienced a downturn on Thursday as U.S. Treasury Secretary Janet Yellen embarked on a trip to China in an attempt to ease tensions between the two largest economies. European shares, including Germany’s DAX and France’s CAC 40, registered losses of 1% and 1.7%, while Britain’s FTSE 100 dropped 1.2%. Meanwhile, futures for the S&P 500 and Dow Jones Industrial Average indicated a decline of 0.4% and 0.5%, respectively.

The recent surge in share prices, driven by signs of a stronger-than-expected U.S. economy, has given way to investor concerns over potential rate hikes. Minutes from the Federal Reserve’s latest policy meeting revealed that some officials had favoured raising rates in mid-June. However, the final decision was to maintain the status quo regarding the stock market crash 2023. This uncertainty regarding future rate hikes has weighed on investor sentiment, with market participants eagerly awaiting the release of Friday’s U.S. non-farm payrolls employment report.

Yellen’s Visit to China Raises Hopes for Improved U.S.-China Relations, but Market Volatility Persists

Investors are closely monitoring the outcome of Yellen’s discussions with Chinese leaders in Beijing. This comes as Hong Kong’s Hang Seng index declined by 3%, driven in part by heavy selling of Chinese bank shares following a downgrade by Goldman Sachs. The Shanghai Composite Index also dipped by 0.5%. In Japan, the Nikkei 225 lost 1.7%, while Australia’s S&P/ASX 200 dropped 1.3% and South Korea’s Kospi fell by 1.1%.

Amidst the market downturn, Meta Platforms (parent company of Facebook, Instagram, and WhatsApp) experienced a 1.9% increase in its share price ahead of the launch of a new app that appears to emulate Twitter. Despite the overall negative sentiment, hopes are rising that cooling inflation may lead the Federal Reserve to halt its rate hikes, potentially influencing the future trajectory of the U.S. stock market flotation.

Will the Stock Market Recover? Meta Platforms Buck the Trend with Promising Stock Performance

In the bond market, yields were mixed, with the 10-year Treasury yield rising to 3.96% while the two-year Treasury yield held steady at 4.94%. In commodities, U.S. benchmark crude oil saw a slight increase to $72.02 a barrel, and Brent crude rose to $76.80 a barrel. The U.S. dollar weakened against the Japanese yen and the euro.

Looking ahead, the upcoming earnings reporting season and labour market data releases will provide further insights into the state of the economy and the potential impact on possible stock market crash 2023. Investors remain cautious as they assess the possibility of a long-predicted recession and await further developments in U.S.-China relations.

The post Global Stock Market Crash 2023: Wall Street Drifts Lower appeared first on FinanceBrokerage.

You May Also Like

Investment Insight Daily Economy News

Laura Wong Hon Chan is an interest rate options trader, who is currently a director at Bank of America Merrill Lynch in New York....

Investment Insight Daily Stock News

In this episode of StockCharts TV‘s The MEM Edge, Mary Ellen reviews what’s driving the markets higher and what to be on the lookout...

Investment Insight Daily Stock News

SPX Monitoring Purposes: Long SPX on 10/10/22 at 3612.39; sold 12/13/22 at 3669.91 = gain 1.59%. Monitoring Purposes GOLD: Long GDX on 10/9/20 at...

Investment Insight Daily Stock News

I don’t like it when parts of a puzzle don’t match. You just don’t get a clear picture. As participants in the markets, we...