Those concerns intensified on August 2 after data showed a dip in manufacturing and construction, while a weaker-than-expected employment report added to Wall Street’s fears about the economy running out of steam. A range of signals in recent months suggest the economy is losing speed, leading some experts to urge the Federal Reserve to lower its benchmark interest rate for the first time since 2020. For now, however, the central bank has left rates unchanged, including more at its policy meeting last week. Monday’s declines mark the latest sign of trouble for the index, which officially entered bear market territory last week as investors worried Trump’s tariffs would hamstring businesses. That’s a sharp turn, given the Russell 2000 had rallied in November with traders expecting small-caps to benefit from Trump’s preference for deregulation. The blue-chip FTSE 100 index was down 0.4pc after logging its worst day in more than three months on Thursday as traders feared the impact of the Federal Reserve holding interest rates at their highest level since 2001.

• Both indexes are still, however, on track to log weekly gains on upbeat corporate earnings.
• Remember to consult with a financial advisor and tailor your investment decisions to your individual circumstances and risk tolerance.
• What is important for the EU outlook is what will happen due to the broadscale tariffs with overall US demand, global demand and supply chains, how the EU will respond, and obviously investment decisions.
• So investors are fleeing to relative safety, selling off stocks in favor of bonds.
• Judge Amit Metha said on Monday that the online behemoth had unfairly blocked competitors from succeeding in the market by paying $26bn to ensure it was the default search engine on smartphones and web browsers.

Commerce Secretary Howard Lutnick said Sunday that the Trump administration will remain steadfast in its reciprocal tariffs on major U.S. trading partners even in the face of a global stock market sell-off. It comes as money markets price in three straight interest rate cuts by the Federal Reserve in its September, November and December meetings, with a 30pc chance that one of those cuts will be by half a percentage point. Global stock markets are in free fall, the Wall Street fear gauge has hit a four-year high and coinjar reviews money markets are betting the Fed will launch an emergency rate cut.

Yield Curve Signals Recession—Or Does It?

Today’s report shows employment is growing more gradually at a time when inflation has declined significantly. Business investment remains strong thanks in part to our investing in America agenda, which is creating good-paying jobs in communities that have been left behind. A handful of defensive stocks, companies which tend to provide consistent dividends and stable earnings regardless of the state of the overall stock market, were the rare winners. “Today’s US jobs report disappointed on most fronts, re-igniting concerns of a potential recession,” she said. Whether the recent tariff announcements are a tactical negotiating maneuver or the opening salvo of a protracted trade war will significantly influence market sentiment and economic prospects. On the other hand, anxieties surrounding trade wars, persistent inflation, and potentially inflated market valuations are casting a shadow over the near-term market trajectory.

It suffered an 11.4pc drop in October 2008 during the global financial crisis and fell 10.6pc during the aftermath of massive earthquakes and nuclear meltdowns in northeastern Japan in March 2011. The world’s largest cryptocurrency fell by 11.6pc to $51,410, adding to a 13.1pc drop last week. Japan’s Nikkei lost nearly 13pc on Monday to hit a seven-month low in its worst trading day since Black Monday. Analysts said that they feared the US Federal Reserve had made a mistake by not cutting interest rates last week, and might now be too late to hold off a recession. Traders are now pricing in that the Fed will announce a half a point rate cut at its next meeting in September, which would reduce interest rates from a range of 5.5pc to 5.25pc to 5pc to 4.75pc. Growth in China’s services activity accelerated in July – its 19th straight month of growth – but was not enough to avoid a stock best cryptocurrency brokers sell-off in  the world’s second-largest economy.

Still, this could come at the cost of losing some market share in the next financial year. The lock-in period expired on May 12, making 83% of the company’s shareholding eligible for secondary market trading, starting today. Its biggest single-day rout was a drop of 3,836 points, or 14.9pc, on the day dubbed “Black Monday” in October 1987. London’s blue-chip index was beaxy exchange review as much as 2.2pc down after the open on Monday, losing as much as 177 points to hit 7,997.61, with equities across the board falling into the red.

Trump shrugs off concerns

• Bitcoin proxy stock MicroStrategy, recently rebranded to Strategy, rocketed 23% along with Robinhood, which climbed 21%.
• “We don’t see that right now,” she said Monday, speaking at an event hosted by the Hawaii Executive Collaborative.
• The greenback just weakened to its lowest level in eight months as Wall Street bets that the Federal Reserve will cut interest rates more aggressively than previously thought.

But the effect of tariffs and market whiplash have posed headwinds, and as of Wednesday morning, the likelihood of the deal going through was still around 50%. The Cboe Volatility Index, known as the VIX, dropped 15 points to 37.2 after news of a 90-day tariff pause. When asked by a reporter if the market should take the pause as the last word on tariffs, Treasury Secretary Scott Bessent said negotiations with other countries will determine what comes next. U.S. crude hit an intraday low of $55.12 earlier in the session after Beijing announced tariffs of 84% on U.S. goods in response to Trump’s levies. The price band for each security is set at a percentage level above and below its average price in the preceding five minutes.

The Chicago Board Options Exchange Volatility Index – used to gauge turbulence in stock markets – has surged to its highest level since the onset of the pandemic. The pound has been one of the worst performing major currencies over the last week, in part because of the Bank of England’s rate cut, but also as investors have trimmed their exposure to the currency. The Federal Reserve held interest rates at 5.5pc to 5.25pc last week, while the Bank of England announced its first rate cut in four years on Thursday. UBS economist Maxime Botteron said at a time when the SNB is cutting interest rates, the franc’s appreciation over the last few days could prompt foreign currency purchases by the bank. The tech-heavy Nasdaq Composite plummeted by 6.4pc following a 2.4pc fall on Friday as panic about a global economic downturn gripped markets. The threshold was crossed when US government data showed on Friday that the unemployment rate had hit 4.3pc, its highest level since October 2021.

Understanding Stock Market Downturns

That is partly because America’s jobs numbers have been unsettled by an unexpected surge in immigration, much of it illegal, over the past couple of years. Mr Subramanian reportedly said that there is potential for strong returns in some areas, including among strong dividend payers and “old school” businesses in infrastructure, construction and manufacturing. Over the last 44 years, the index has slipped into correction territory after hitting a new high 24 times, or about once every two years, according to a Reuters analysis of LSEG data.

CEOs think the U.S. is ‘probably in a recession right now,’ says BlackRock’s Fink

Rising unemployment is an urgent problem for the Fed, since in addition to stabilizing prices, the Fed is also responsible for maximizing employment. Economists say that once unemployment starts rising, it tends to catch momentum and continue to ascend. Not only does the Fed have enough of a reason to begin cutting, it may do so aggressively to prevent the job market from faltering any further. West Texas Intermediate crude futures, the US benchmark, fell 0.8%, to $72.92 a barrel. Brent crude futures, the international benchmark, declined 0.1%, to $76.31 a barrel. That’s even after a federal judge ruled in a staggering court defeat for the tech behemoth that Google has violated US antitrust law with its search business.

News

The tech-heavy Nasdaq Composite plummeted by as much as 6.4pc as Wall Street opened – its worst daily drop since the start of the pandemic – extending losses after a 2.4pc drop on Friday. ​The forces pushing stock prices down are likely to prevail over those sending them back up. In pre-market trading April 7, the S&P 500 was down nearly 3% after shares fell 13% in Hong Kong, dropped 10% in Taiwan, and retreated 7% in China, noted the New York Times.

Stock futures soar after U.S. and China suspend tariffs for 90 days

It comes after US jobs data sparked a global market sell-off at the end of last week, after investors were spooked at the prospect of a potential American recession. Traders are ramping up bets on an emergency interest rate cut by the US Federal Reserve in an effort to quell a sell-off in global markets. It has joined the global stocks sell-off amid fears that a US recession could impact demand for oil around the world.

In the space of barely two days markets have gone from looking forward to a Fed rate cut in a growing economy to fretting about an impending recession. Red ink abounds in the world’s stock markets this afternoon after US unemployment rose in the US and the country’s latest payrolls report was weaker than expected. With inflation coming down and the labour market softening we now think the Fed will cut rates a quarter point in September. But with GDP in the second quarter coming in at 2.8pc, the economy is not crashing. Torsten Slok, chief economist at Apollo Global Management, said he now expects the Fed to cut rates in September. Swiggy shares slumped 7.27% on Tuesday to hit an all-time low of ₹297 on the NSE, down from the previous close of ₹320.3.

Away from global stocks, building society Skipton has ramped up the amount it lent to first-time homebuyers, who it said are driving demand for mortgages. Policymakers have been concerned that services inflation has remained persistent at 5.7pc, risking a rebound in the pace of price rises despite the overall consumer prices index falling back to the Bank’s 2pc target. The unemployment rate also rose to 4.3pc from 4.1pc, its highest level since October 2021.

Global stock markets have plunged amid fears that the US Federal Reserve has left it too late to begin cutting interest rates and risks damaging the world’s largest economy. Frenzied bets on rate cuts at one point on Monday implied a 60pc chance that the central bank would be forced to announce a quarter of a percentage point interest rate cut within a week in response to the global loss in confidence. During a stock market downturn, it is crucial to have a risk management strategy in place.

However, it warned that the company could lose more market share in FY26 due to reduced investment in quick commerce. Although Swiggy’s current stock price is about 18% below its IPO price of Rs 390, several pre-IPO investors are still sitting on significant unrealised gains. “While we cannot accurately predict when these shareholders will exit, or whether they will even exit, it is pertinent to note that several of them are already sitting on significant unrealised gains,” JM Financial stated. “Even if earnings come in as expected, the valuation multiples are so high that it’s hard to sustain” those prices, PNC’s Agati said.