US Market Continues Decline: Till 20 days ago, the US stock market was at a record high. The economy looked strong. There was no sign of recession. But now there is talk of recession everywhere. The reason is that a huge decline has been registered in the US stock market (Dow Jones, Nasdaq, S&P 500).
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US Market Continues Decline
The Dow Jones fell 2.08% on Monday and 1.06% on Tuesday. The Nasdaq fell 4% on March 10 and 0.51% on March 11. Similarly, the S&P 500 lost 2.7% on Monday and 0.73% on Tuesday. On Monday, the Nasdaq saw its worst day since September 2022, falling 4%. The Dow Jones, which dropped nearly 900 points, closed below its 200-day moving average for the first time since November 1, 2023.
In a Fox News interview, US President Donald Trump said the economy was going through a ‘transition’ when asked about the possibility of a recession. As of Monday’s close, 366 components of the S&P 500, roughly 73%, were trading 10% or more below their 52-week highs.
US Market Continues Decline: These Are the 6 Big Signs of Recession
- Fear of increase in interest rates: – The US Federal Reserve has indicated that interest rates will soon rise to control inflation. This has scared investors, who have started selling shares in large quantities.
- Tariff War: Donald Trump had warned that a tariff war with Canada, Mexico, and China could cause ‘some trouble’ for Americans. This statement created an atmosphere of fear in the Dow Jones
- CNN’s Fear and Greed Index showed a level of ‘extreme fear’ on Monday, which was ‘neutral’ till a few weeks ago.
- Big fall in tech: Tech companies have a big weightage in the US stock market. Tesla’s stock fell by 13%, while Nvidia, Apple and Alphabet fell more than 5%. Microsoft and Amazon shares fell by 2-4%.
- Companies bankrupt: 129 companies went bankrupt in the first two months of 2025. This is the largest number at the beginning of the year since 2010.
- 6. Fear of recession: Goldman Sachs increased the possibility of recession from 15% to 20%. However, the bank believes that Trump can change his policies if he sees the situation worsening.
US Market Continues Decline: Sensex-Nifty Compensated for the Loss
The Sensex recovered most of its losses on Tuesday and closed almost stable. The Sensex closed marginally lower by 12.85 points at 74,102.32. However, shares of private sector IndusInd Bank fell 27% to close at Rs 655.95.
The bank had reported some anomalies in its derivatives portfolio. During the day, it fell 28% to a 52-week low of Rs 649. Experts said that volatility and high uncertainty over Trump’s tariff policy have started affecting the stock markets.
🚨 #BREAKINGNEWS Dow Jones falls another -478.29 today and down -3,160.17 for the month. The United States Stock Market and Economy is underperforming against Europe. Trumps economy. 🚨 pic.twitter.com/vY7rn9CXN5
— Ford News (@FordJohnathan5) March 11, 2025
Jay Chavda He is the Founder and Writer of businesspulsecare.com. He is an I.T Engineer, Freelancer, Businessman. He posts Business, Stock/Share Market, Finance Related News and updates on the website. 🔗