Dow plunges more than 1,000 points on specter of higher interest rates — Business — Bangor Daily New
Richard Drew | AP | BDN
Traders Peter Tuchman, left, and Patrick Casey work on the floor of the New York Stock Exchange, Thursday, Feb. 8, 2018.
U.S. stocks gave up even more ground Thursday, as volatility kept the markets in its grip.
The Dow Jones industrial average tipped 1,032 points into the red, down 4.2 percent, to close at 23,860 as fears deepened over rising interest rates. Its steep dive in the final minutes of trading put the Dow in correction territory.
The technology-laden Nasdaq and the broad Standard & Poors 500-stock index also drifted lower during the day and each was down more than 3 percent. Trading volumes were 50 percent above normal.
The 3 percent pullback Thursday across U.S. indexes is something that did not happen in all of 2017. And the 2018 gains for the Dow and S&P have been wiped out.
Many are bracing for more wild swings ahead as the Cboe Volatility index is holding at twice its level from a week ago.
Its the fourth ugly day in global markets. European stocks saw across-the-board losses, led by the Germanys blue-chip DAX, which lost 2.6 percent, or 330 points. Most Asia indexes were positive overnight.
All major sectors were down Thursday, with technology, real estate and financials leading the plunge, signaling investor unease around interest rates and the prospect of higher inflation.
Alexandra Coupe, associate director investment manager PAAMCO, said rising inflation makes stocks less attractive. Stocks over the long te....