Dow drops nearly 550 points, sending its two-day loss total to nearly 1,400 points [View all]

[DonViejo]

Source: The Washington Post


By Taylor Telford, Anna Fifield and Gerry Shih October 11 at 4:03 PM

U.S. markets suffered deeper losses Thursday, following on a global rout as investors lost their nerve over rising U.S. interest rates and fresh worries about an economic slowdown.

Concerns about U.S.-China ties weighed heavily, too. U.S. markets rebounded briefly after it was announced that President Trump would meet with Chinese leader Xi Jinping at next month’s G-20 summit in Buenos Aires to discuss the intensifying trade conflict.

The Dow Jones industrial average ended the day down 2.1 percent, or 546 points, pushing the two day loss to nearly 1,400 points. The broad-index Standard & Poor’s 500-stock index was off 2 percent. The tech-heavy Nasdaq notched its second day of trouble with a 1.3 percent loss.

The markets landed in the red despite a government report that showed consumer prices rose less than expected last month. U.S. consumer prices rose 0.1 percent in September, following a 0.2 percent increase in August.

Read more: https://www.washingtonpost.com/world/markets-across-asia-open-down-sharply-following-wall-st-tumble/2018/10/10/ef1e5422-ccc9-11e8-920f-dd52e1ae4570_story.html

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Wall St. Extends Drop Into Sixth Day After Global Sell-Off

By Alexandra Stevenson, Jack Ewing and Matt Phillips
Oct. 11, 2018

Wall Street tumbled again on Thursday, as choppy trading gave way to broad-based stock declines late in the afternoon.

Investors are contending with multiple concerns, including rising borrowing costs that could dampen economic growth and growing tensions between Beijing and Washington. Worries about rising interest rates eased briefly early in the day after a report showing muted inflation helped send yields on government bonds lower.

But jitters emerged again in the afternoon, when declines in the Standard & Poor’s 500-stock index began to gather pace. Shortly before 3 p.m. the broad index was again down more than 2 percent. That was on top of a 3.3 percent decline the day before. The S. & P. 500, the market benchmark, closed lower on Thursday, its sixth straight daily decline.

“The global economy and markets are in a delicate situation,” said Carsten Brzeski, chief economist at ING Bank in Frankfurt. “While the status quo is still good, risks are increasing.”

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https://www.nytimes.com/2018/10/11/business/stock-market-global.html