‘Not immune to gravity’: Stocks fall broadly on Wall Street

Business

(NewsNation) — Another broad stock market sell-off Monday deepened Wall Street’s losses from last week, leaving the S&P 500 with its biggest slide since mid-June.

The benchmark index fell 2.1%, nearly doubling its losses from last week, when it broke a four-week winning streak. The Dow Jones Industrial Average slumped 1.9% and the Nasdaq dropped 2.5%.

Technology companies and retailers had some of the heaviest losses. Smaller company stocks also lost ground, pulling the Russell 2000 index 2.1% lower.

The latest market slide comes as investors grapple with uncertainty over when the highest inflation in decades will ease significantly, how much the Federal Reserve will raise interest rates in order to get it under control and how much those rate hikes slow the economy.

Dan Roccato, a finance professor at the University of San Diego, said with the market doing well lately, a drop was expected at some point.

“We’re still about 14% down for the year, but they’ve made up about half of that over the last few weeks,” he said. “So we’ve come a long way in a short period of time, and markets are not immune to gravity. That’s what we saw today.”

The Associated Press contributed to this report.

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