Persistent Inflation Drags on U.S. Stocks
A fresh inflation shock hammered stock and bond prices anew, heightening investors’ fears that the Federal Reserve could be forced into more drastic action to bring down consumer prices.
Declines hit across the board, with rising interest-rate expectations increasing worries about the possibility of the economy slipping into a recession. The Dow Jones Industrial Average fell 2.3%, or about 750 points. Technology shares slid along with banks and consumer shares, sending the S&P 500 down 2.5% and the Nasdaq Composite down 3.2%.