{"id":1524533,"date":"2022-06-20T16:34:05","date_gmt":"2022-06-20T20:34:05","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1524533"},"modified":"2022-06-20T16:34:08","modified_gmt":"2022-06-20T20:34:08","slug":"wall-street-sees-worst-carnage-since-2020","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wall-street-sees-worst-carnage-since-2020\/","title":{"rendered":"Wall Street Sees Worst Carnage Since 2020"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">14<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fwall-street-sees-worst-carnage-since-2020%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1524533&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The <a href=\"http:\/\/dailywire.com\/topic\/stock-market\">stock market<\/a> saw a brutal series of selloffs last week.<\/p>\n<p><a href=\"http:\/\/dailywire.com\/topic\/wall-street\">Wall Street<\/a> investors\u2019 nerves came amid disappointing <a href=\"http:\/\/dailywire.com\/topic\/inflation\">inflation<\/a> news and a decision from the <a href=\"http:\/\/dailywire.com\/topic\/federal-reserve\">Federal Reserve<\/a> to aggressively raise interest rates. While the Dow Jones Industrial Average and the Nasdaq Composite fell 4.8% over the course of the week, the S&#038;P 500 was down 5.8% \u2014 marking its <a href=\"http:\/\/dailywire.com\/topic\/recession\">worst week<\/a> since 2020, according to <a href=\"https:\/\/www.cnbc.com\/2022\/06\/16\/stock-market-news-futures-open-to-close.html\">CNBC<\/a>.<\/p>\n<p>Last Monday, a <a href=\"https:\/\/www.dailywire.com\/news\/wall-streets-key-recession-indicator-just-went-off\">yield curve inversion<\/a> \u2014 a phenomenon in the bond market that Wall Street watches as a recession indicator \u2014 rocked the financial world. An inverted yield curve historically precedes recessions by six months to two years, as indicated by data from the <a href=\"https:\/\/fred.stlouisfed.org\/series\/T10Y2Y\">Federal Reserve Bank of St. Louis<\/a>.<\/p>\n<p>Another series of selloffs occurred during the week ending on June 10 \u2014 the day upon which the U.S. Bureau of Labor Statistics announced that the Consumer Price Index (CPI) rose 8.6% between May 2021 and May 2022, meaning that <a href=\"https:\/\/www.dailywire.com\/news\/inflation-reaches-8-6-setting-new-four-decade-high\">inflation reached new four-decade record highs<\/a> once again. The Dow fell 2.5%, the Nasdaq fell about 3%, and the S&#038;P 500 fell 2.7% by the end of the week.<\/p>\n<p>President Joe Biden, however, said in a Thursday interview that a recession is by no means \u201cinevitable\u201d and told Americans to <a href=\"https:\/\/www.dailywire.com\/news\/biden-claims-recession-not-inevitable-tells-americans-they-shouldnt-believe-economist-warnings\">wait before concluding<\/a> that economists\u2019 forecasts are true.<\/p>\n<p>\u201cYou\u2019ve got serious economists who warn of a recession next year\u2026 What should Americans believe?\u201d Associated Press reporter Josh Boak asked Biden.<\/p>\n<p>\u201cThey shouldn\u2019t believe a warning. They should just say: \u2018Let\u2019s see. Let\u2019s see, which is correct.\u2019 And from my perspective, you talked about a recession. First of all, it\u2019s not inevitable,\u201d Biden replied before pointing to a survey taken last year to allege that Americans have robust savings.<\/p>\n<p>Two days earlier, Biden <a href=\"https:\/\/www.dailywire.com\/news\/biden-claims-inflation-is-worse-everywhere-but-here-thats-not-even-close-to-true\">claimed<\/a> in a speech for the AFL-CIO that inflation is impacting the rest of the world more severely than in the United States. \u201cUnder my plan for the economy, we\u2019ve made extraordinary progress,\u201d Biden argued at the labor union\u2019s conference. \u201cAnd we put America in a position to tackle the\u2026 worldwide problem that\u2019s worse everywhere but here: inflation.\u201d<\/p>\n<p>Nevertheless, <a href=\"https:\/\/www.oecd.org\/sdd\/prices-ppp\/consumer-prices-oecd-06-2022.pdf\">data<\/a> from the Organization for Economic Cooperation and Development (OECD) show that the United States is dealing with <a href=\"https:\/\/www.dailywire.com\/news\/pretty-bleak-international-economic-organization-issues-new-warning-about-soaring-inflation-famine\">higher inflation rates<\/a> than many other industrialized countries. The 8.3% inflation rate seen in the United States as of April was higher than the 7.8% rate in the United Kingdom, the 7.4% rate in Germany, the 6.8% rate in Canada, the 6% rate in Italy, the 4.8% rate in South Korea, and the 2.5% rate in Japan.<\/p>\n<p>In response to high inflation, the Federal Reserve announced last week that it would <a href=\"https:\/\/www.dailywire.com\/news\/federal-reserve-takes-most-aggressive-action-to-fight-inflation-in-three-decades\">increase interest rates<\/a> by 0.75% \u2014 the largest one-time rate hike since 1994. The central bank already <a href=\"https:\/\/www.dailywire.com\/news\/the-fed-jacks-key-rate-up-half-point-as-inflation-surges\">increased rates<\/a> by 0.5% in May \u2014 the largest such increase since 2000 \u2014 following a 0.25% rate hike from near-zero levels in March.<\/p>\n<p>After the dust settled in the stock market, Federal Reserve Governor Christopher Waller said that similar moves in the near future would <a href=\"https:\/\/www.dailywire.com\/news\/expect-higher-unemployment-as-federal-reserve-tackles-inflation-warns-top-policymaker\">lead to higher unemployment<\/a> \u2014 noting that he would vote for another 0.75% rate hike next month if the data are dismal once again.<\/p>\n<p>The Fed\u2019s benchmark interest rate is now between 1.5% and 1.75%. Rate hikes increase the cost of borrowing money for businesses and consumers \u2014 which tends to cut inflation at the expense of economic activity.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The stock market saw a brutal series of selloffs last week. Wall Street investors\u2019 nerves came amid disappointing inflation news and a decision from the Federal Reserve to aggressively raise interest rates. While the Dow Jones Industrial Average and the Nasdaq Composite fell 4.8% over the course of the week, the S&#038;P 500 was down &#8230;<\/p>\n","protected":false},"author":99,"featured_media":1510513,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1524533","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1524533","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1524533"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1524533\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1510513"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1524533"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1524533"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1524533"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}