U.S. stock indexes plummeted 4% on comments of the Fed
On Wednesday at the American and European trading floors
negative dynamics prevailed - the main stock indices
closed in the red. By the end of the day Dow Jones lost 3.57%, S&P 500
- 4.04%, NASDAQ - 4.73%. In Europe DAX (Germany) declined by
1.26%, FTSE 100 (UK) - by 1.07%, CAC 40 (France) - by
1,20%.
The pessimistic sentiment among investors increased after the words of
Federal Reserve Chairman Jerome Powell's words that the regulator might
The regulator might act more aggressively to curb inflation. That
would occur if it did not see sufficient clear evidence of falling
price levels; appropriate measures would include a more
aggressive key rate hikes. The regulator's tough policy
is worrying markets, fearing that it will lead to a
recession.
Meanwhile, the U.S. is planning to allocate an additional $300 million in
in connection with global food shortages, and the cost of gasoline in the
country set another record on Wednesday, rising to
$4,567 a gallon.