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Global stock markets experienced a sharp decline today as fears of a potential US recession loomed after an unexpected rise in joblessness in the US. This unexpected development has caused concern among investors and experts about the potential impact on the global economy.
One of the biggest losers in the US market was Intel, while other major companies such as Amazon, Arm Holdings, Nvidia, and Tesla also saw significant drops. As a result, trillions were wiped off US markets when they opened at 2:30pm UK time.
With the increased possibility of a US interest rate cut, markets have already priced in a 90% chance of a reduction next month. This development has been described by our NBC colleagues as a “complete U-turn” from a few weeks ago when the US economy was seen as resilient.
In the UK, the impact of this turbulence in the US market has already been felt, with one lender announcing a cut in mortgage rates. An analyst has also predicted that if the US sell-off continues and considering the current geopolitical climate, major lenders may also make deep cuts in the coming days and weeks.
We will be pausing our live coverage for today, but you can scroll back through to catch up on all the major developments. We will be back tomorrow with live updates. Thank you for joining us.
