US Stocks See Worst First Half Drop in More Than 50 Years
Stocks in the United States of America have seen their worst first half of a year since 1970 even as concerns continue to grow over how steps to curb inflation will affect economic growth.
As reported in the BBC, between January through June, the benchmark S&P 500 index fell 20.6%, while other major US indexes also dropped sharply.
Other stocks that have also suffered steep losses are stocks in Asia, mainland Europe and the UK.
This comes at a time when central banks around the world are trying to rein in soaring living costs, with prices of essential goods like food and fuel jumping.
Some economists expect the US, which is the world’s biggest economy, to go into a recession as early as this year as interest rates continue to rise.
“If the US Federal Reserve continues hiking rates the stock market will react quite negatively,” Dan Wang, chief economist at Hang Seng Bank China said in a chat with the BBC.