ANI
04 Dec 2021, 10:37 GMT+10
New York [US], December 4 (ANI/Sputnik): US stocks tumbled for a second week in a row, roiled by fears of an imminent rate hike by the Federal Reserve and the possibility of another round of global economic turmoil from potential measures to address the coronavirus Omicron variant.
The Labor Department announced earlier on Friday the unemployment rate in November stood at just 0.2% above the Federal Reserve's 4% target for maximum employment and key criteria for an interest rate hike. Federal Reserve Chairman Jerome Powell said earlier this week that the central bank was already thinking of speeding up the taper of its pandemic-era stimulus and putting in a rate hike as expeditiously as possible to rein in inflation.
Reports of cases of Omicron in the United States have begun flowing in, with more states reporting infections after the first one reported in California earlier this week.
The November jobs numbers and Omicron cases proved to be a double-whammy for Wall Street.
At the close, the biggest losers were technology stocks on the Nasdaq Composite. The index - which groups Big Tech names such as Facebook, Apple, Amazon, Netflix and Google - fell 296 points, or 1.9%, on the day to close at 15,086. For the week, the Nasdaq fell 2.6%, adding to last week's 3.5% rout.
The Dow Jones Industrial Average, which comprises mostly industrial stocks, lost 60 points, or 0.2%, to settle at 34,580. The Dow fell almost 1% on the week, after last week's drop of nearly 2%.
The SP 500 index, which groups the top 500 US stocks, finished down 39 points, or 0.8%, at 4,538. The SP fell 1.2% for the week, adding to last week's 2.2% drop.
Despite their recent setback on Omicron fears, US stocks are still having one of their best years, with the Dow up 13%, the SP 500 showing a gain of 20% and Nasdaq a rise of 18%.
"It's clear from comments this week by Chairman Jerome Powell and his colleagues that the plan has changed recently and they now intend to taper faster, raise rates sooner," Craig Erlam, an analyst at online trading platform OANDA, said. "But Omicron could complicate efforts further just as the economic data was starting to catch up. A strong (jobs) report today leaves the Fed[eral] Reserve well and truly backed into a corner." (ANI/Sputnik)
Get a daily dose of Madagascar Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Madagascar Sun.
More InformationShohei Ohtani showed no ill effects of a foot injury Tuesday night, ripping a home run while shutting out the ...
WASHINGTON - U.S. health officials on Tuesday authorized a plan to stretch the nation's limited supply of monkeypox vaccine by ...
Almaty, Kazakhstan - An Iranian satellite launched by Russia blasted off from Kazakhstan on Tuesday and reached orbit amid controversy ...
Ethiopia's Somali region is mobilizing against al-Shabab militants to prevent further incursions by the group.The region had been hailed as ...
The U.S. embassy in South Sudan on Tuesday called on authorities in the central African country to free a journalist ...
Ships using ?grain corridor? are headed for Turkey, Europe and China, Kiev's proclamations asideEven as the Kiev authorities declared help ...
LOS ANGELES, California: During a meeting that was disrupted by protesters this week, the Los Angeles City Council voted to ...
WASHINGTON D.C.: The U.S. Justice Department announced this week that former Puerto Rico governor Wanda Vazquez has been arrested in ...
OTTAWA, Ontario: Military trainers from Canada will head to the United Kingdom to teach Ukrainians new techniques for fighting the ...
SANYA, China: Following a Covid lockdown, some 80,000 tourists cannot leave the southern Chinese beach resort of Sanya. The restrictions ...
SANTA BARBARA, California - Australian singing sensation and actress Olivia Newtown-John has died at the age of 73."Dame Olivia Newton-John ...
DEATH VALLEY NATIONAL PARK, California: Record rainfall on August 5 caused floods at Death Valley National Park that closed all ...