The blue-chip stock average's recent drubbing, which follows its record 1,175-point drop Monday, has been fueled by fears that a long period of low interest rates and tame inflation that have boosted the economy and fueled a rapid rise in stock prices may be nearing an end as economic conditions improve.
Japanese shares were also down about 7 per cent at one point before ending 4.7 per cent lower, while markets in Hong Kong and Taiwan closed down about 5 per cent.
The bank said it will be some time before Australia's unemployment rate drops to what it considers full employment and also before the limp inflation rate - now at 1.9 per cent - reaches the midpoint of its preferred two to three percent target band.
Dow plunges 1000 as market swoons again
Boeing and United Tech gained about 1.5 percent, leading the boost for the Dow , while Amazon's 1 percent rise pushed up the S&P. Equity investors took the signal to mean interest rates will push higher, denting earnings and consumer-spending power.
Tuesday was a volatile day for the Dow, swinging over 1,100 points from peak to low and ending the session with the benchmark S&P 500 taking in its best day since before President Donald Trump's 2016 election. The Dow had previously never lost more than 777 points in a single day, as reported by CNN Money.
The fall surpasses a previous record 777.68 points drop on the Dow Jones during the financial crisis in 2008.
The biggest losses went to high-dividend companies including utility and real estate companies, as bond yields increased after a sharp drop on Monday. "This isn't a concern that markets aren't going to do well, or that corporate America isn't going to do well", she said.
S. bond yields late last week after data showed U.
Some analysts have cautioned the decrease in an unusually strong market could merely be a correction, which considers any drop below 10% healthy.
'A strong 2017 rally extending into January, low volatility, low interest rates, over-optimism and complacency, over-leverage and financial engineering, all coming to a head as investors react to the possibility of higher/faster interest rates with bond yields creeping higher to jeopardise the current market situation'. "So when I saw what the Dow was doing, the market in general, I've been concerned about it".
United States 10-year yields were at 2.789 per cent, up from 2.766 per cent on Tuesday. The index finished down 19 points, or -0.08%.
S. Korean Mixed Doubles Curling Team Earns Second Win
A promising start for the American mixed doubles curling team of McFarland's Becca and Matt Hamilton has gone awry. They are considered top contenders at this event. "We're kind of paving the way for all our teams", she said.
Garrett Roe: NHL disappointment opens door for Olympic glory
He played five seasons in the National Hockey League , appearing in 62 games for the Los Angeles Kings and Buffalo Sabres. Roy tells 570 NEWS he had a hard time keeping it under wraps when he got the call saying he would be on the Olympic team.
Treasurys are surging as stocks get slammed
Trading has been choppy for days, and the market has swung in wide ranges - up and down almost 2,300 points over the past week. Higher interest rates indicated that inflation will increase, which raised the prospect that the U.S. economy could overheat.
Porn site offers to help Philadelphia Super Bowl celebration
They're already doing a great job, and they'll do a great job for the rest of the week. "But I hope to goodness they win". The dearth of event space forced organizers to reach out to places of worship and funeral homes as potential party spots.
Response to AGLC halting BC wine imports
Other politicians are speaking up about the dispute. "This should not be about pitting BC businesses against Alberta businesses". He added that he had no intention of retaliatory action against Alberta and dispelled the rumours about a possible ban on beef.