Concerns are building over more aggressive central bank response to surging inflation
An employee passes share price information displayed on an electronic ticker board inside the London Stock Exchange Group’s offices in London, the UK. Picture: BLOOMBERG VIA GETTY IMAGES/LUKE MACGREGOR
The US benchmark S&P index closed in a bear market overnight, defined as a more than 20% fall from its recent high, while the US Nasdaq slumped almost 5%, with the market now betting that US Federal Reserve policymakers will contemplate a 75 basis point hike this week. Adding to concerns is a flare-up of Covid-19 cases in China where further lockdowns may cause additional damage to a global growth environment that has already deteriorated in 2022.
The Fed’s interest rate announcement is on Wednesday, while later on Tuesday US producer inflation data for May are due, and could be market moving. Economists expect producer inflation to moderate slightly from April’s 11% year-on-year rise.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
MARKET WRAP: JSE falls to lowest in a month as markets anticipate aggressive FedIf the US Fed raises the funds rate by more than a half a percent on Thursday, there could be further weakness in global equity markets and a softer rand
Read more »
JSE hit by ugly global sell-off - but still sitting prettier than major markets | Fin24Despite another grim day on the markets, the JSE’s losses remain relatively contained compared to some of the other major markets. | Fin24
Read more »
JSE, rand bleed amid global market selloff | Fin24The JSE's All-Share index lost more than 2% on Monday.
Read more »
Asian stocks slump as traders fret about Fed policy after US CPIInvestors are concerned the US Federal Reserve will adopt even more aggressive Federal Reserve policy tightening
Read more »
Asian stocks sink again as inflation panic grips world markets | The CitizenUS consumer prices are rising at their fastest pace in a generation due to a spike in energy and food costs.
Read more »
Markets track Wall Street plunge on inflation woes, dollar ralliesMarkets tumbled in Asia to extend a global rout while the dollar soared.
Read more »