Forex Analysis & Reviews: 07.12.2022 - US stock market falls for...

07.12.2022 05:01 PM

US stock market falls for the third day in a row

US stock futures declined alongside stocks as worries about the state of the global economy were heightened by weak Chinese trade data. Following the benchmark indicator's fourth straight day of declines on Tuesday, when it closed at its lowest level in nearly a month, S&P 500 futures contracts declined.

The premarket saw a decline in Apple Inc. shares as Murata Manufacturing Co. Due to low demand, the company anticipates further scaling back its plans to produce the iPhone 14 in the upcoming months. Since Apple also scaled back its ambitious plans for a self-driving future electric car, Tesla Inc. declined.

As commodity producers continued to fall, the benchmark index of European stocks was also down.

Fears of a recession were felt in the bond market, where the inversion of yields reached its highest level in four decades due to demand for long-term bonds, resulting in rates on 10-year bonds being below rates on 2-year bonds at their highest level since the early 1980s. The Federal Reserve's decision to raise interest rates and the inflation data scheduled for release next week are pressure points on the market controlled by central banks.

After a rally that followed Fed Chairman Jerome Powell's remarks about a potential slowdown in the pace of tightening, the S&P 500 experienced its worst sell-off in a month, leaving the benchmark where it was a week earlier, just before he spoke.

In a note published on Wednesday, UBS Global Wealth Management's chief investment officer, Mark Haefele, stated, "recent economic data has revealed uncertainty about the economic outlook and the Fed's response." "We anticipate continued volatility and keep a defensive posture."

Powell and his colleagues are being forced by the strength of the US economy's jobs and services to keep up their aggressive fight against inflation rather than consider a modest increase in interest rates. Wall Street executives consequently worry that the Fed will tighten policy too much and cause a recession in the global economy.

Trade data from China showed that exports and imports declined faster in November, indicating sluggish demand, and has drawn attention to their concerns.

لقد أعجبك هذا المنشور بالفعل اليوم

*Disclaimer: The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

هل لديك سؤال حول المحتوى، برجاء الاتصال على البريد الإلكتروني editorial-board@instaforex.com

Stock Markets

المقالات الموصى بها

تحديث حول سوق الأسهم الأمريكية في 23 مايو. التصحيح جارٍ

السوق يقترب من ذروته: اندفاع نهائي أم تراجع جديد؟

توقعات S&P 500 ليوم 23 مايو 2025

توصيات شراء وبيع الأسهم – 22 مايو 2025

السوق الأمريكي يتراجع. هل التصحيح في الأفق؟

تحديث حول سوق الأسهم الأمريكية في 20 مايو. السوق يحتفظ بالمكاسب دون أي تصحيح

خفض التصنيف الائتماني للولايات المتحدة يزيد من احتمالات تصحيح السوق

السوق الأمريكي: يتوقف دون أعلى مستوياته السنوية

توصيات شراء وبيع الأسهم ليوم 15 مايو 2025

تحديث حول سوق الأسهم الأمريكية في 14 مايو

أهم التحليلات