London, Tuesday, 03 January 2023
On Tuesday, the first trading day of 2023, the Dow lost about 200 points and entered the red, while the S&P 500 and the Nasdaq both declined as volatility continued to engulf the stock market.
Investors are still worried about the possibility of a recession and the potential impact on business profits of the Federal Reserve's aggressive policy tightening measures to combat inflation.
Following the electric vehicle market's failure to meet its 2022 delivery objective, Tesla's stock price fell by more than 10% on the corporate side. On news reports that the tech giant will reduce output because of sluggish demand, Apple's stock fell by about 3%.
Investor attention now shifts to the minutes from the most recent Fed policy meeting on Wednesday, which may offer insight into the Fed officials' pain threshold as they remain somewhat hawkish despite signs of lowering inflation and lacklustre GDP.
(Report by: The Decision Maker - Finance editors)