US Stock Market Plunges Amid Oil Price Surge and Inflation Fears
The US stock market took a hit on Wednesday, September 9, as investors reevaluated the Federal Reserve's interest rate policy path amid rising oil prices and inflation expectations.
The Dow Jones Industrial Average plummeted over 400 points, or 0.76%, to 52,382.51, while the S&P 500 index declined 26.11 points, or 0.34%, to 7,647.16. The Nasdaq composite dropped 108.44 points, or 0.41%, to 26,312.97.
The surge in oil prices, with Brent crude breaching the $100 per barrel mark and US crude rising 3.18% to $95.99, added to inflation fears and put pressure on interest-rate sensitive equities. The rise in Treasury yields also contributed to the market's downturn, with the 10-year yield hovering around 4.8%.
Technology stocks, including Nvidia and Meta, were among the few bright spots, with Meta shares jumping over 5% after announcing the launch of its AI assistant Muse. However, even these gains could not offset the broad market decline.