The US Stock Market plunged Thursday as the Feds announced a hike in interest rates to slow inflation, losing 1000 points in mid-day trading in what analysts are describing as the “worst day since the pandemic began.”
“If you go up 3% and then you give up half a percent the next day, that’s pretty normal stuff. … But having the kind of day we had yesterday and then seeing it 100% reversed within half a day is just truly extraordinary,” said one industry insider.
Stocks fell sharply on Thursday, erasing the gains seen in the previous session after the Federal Reserve raised rates by half a point in one of the biggest drawdowns for Wall Street this year.
The Dow Jones Industrial Average lost 1,100 points, or more than 3%. The S&P 500 and Nasdaq Composite fell 3.7% and 4.9%, respectively.
The moves come after a major rally for stocks on Wednesday. The Dow surged 932 points, or 2.81%, and the S&P 500 gained 2.99% for their biggest gains since 2020. The Nasdaq Composite jumped 3.19%.
Those gains had all been erased before noon in New York on Thursday.
This is a developing story. Check back for updates.