In a surprising turn of events, US stock indexes failed to gain momentum despite positive factors such as an ongoing earnings season and a robust quarterly GDP report. The S&P 500, NASDAQ, and Dow Jones Industrial Average all faced significant setbacks, with each index experiencing a decline of more than 2% throughout the week. This marked the sixth week of losses in the last eight for the S&P 500, highlighting a challenging period for investors.
One of the most notable developments was the NASDAQ’s sharp 2% decline on Wednesday. This drop pushed the index more than 10% below its recent peak, which was achieved on July 19. Such a decrease placed the NASDAQ into what’s known as a “correction” territory, signifying a notable market adjustment. In a disheartening turn, the S&P 500 also entered correction territory on Friday after falling over 10% below its peak on July 31. Both of these major indexes saw their values plummet to levels not seen since May, sparking concerns and uncertainties among market participants.
The string of declines in the market has raised questions about the potential impact of various factors, including global economic conditions, inflation worries, and the ongoing pandemic. Investors and analysts alike are closely monitoring these developments, seeking insights into the future trajectory of the U.S. stock market.
Reviewing the US Stock Markets, the Nasdaq Composite, recorded a decent drop of 340 points, reaching a closing value of 12,643 points by the end of the week. Similarly, the S&P 500 index showed a negative trend, losing 107 points to settle at 4,117 points. Meanwhile, DJIA Index experienced a notable shed, dived by 710 points during the week and concluding at 32,417 points after a week of loss.
In contrast, Russell 3000 Index saw a drop in week performance, with a slight loss of 63 points to reach 2,351 points by the end of the week.
Moving to Russell 2000 Index, demonstrated a notable drop of 44 points, ending the week at 1,636 points.
