Panic at Wall Street: The Dow Jones Index Collapsed. This is the Biggest Drop Since the Financial Crisis of September 2008

Business » FINANCE | February 6, 2018, Tuesday // 10:04
Bulgaria: Panic at Wall Street: The Dow Jones Index Collapsed. This is the Biggest Drop Since the Financial Crisis of September 2008

Panic came to Wall Street last night after the Dow Jones industrial stock index collapsed in nearly an hour by almost 1600 points, BNT reported. This happens after months of euphoria, highlighted regularly by President Donald Trump.

Broadcasted on TV, the Dow Jones crash caught the attention of passerby in New York. After a slight increase following the collapse, Dow Jones lost 4.6% - the biggest decline since the financial crisis of September 2008

The White House reacted with the assurance that President Trump's attention is focused on the long-term fundamentals of the economy, which remains extremely strong.

"Dow Jones" has followed other indexes. This morning, a decline of more than 4 percent followed the Tokyo Stock Exchange, where the Nikkei Index lost 929 points - the lowest value since October.

The moment Dow Jones collapsed, President Trump spoke at an event in Ohio, but he did not say a word about the exchanges. Trump has not failed to boast whenever indices rise, analysts note.

The fall of the Wall Street coincided with the inauguration of Jerome Powell, the new president of the Federal Reserve Authority. After taking an oath, Pawel said the US financial system was stronger and more resilient than it was before the financial crisis in 2008, the National Television also said.

Panic has hit Wall Street and leading trade indices sink deep into red territory after a wave of mass sales, according to CNBC.

Analysts, quoted by Market Watch, commented that Donald Trump's "honeymoon" in the financial markets has ended. They recalled that investors responded positively to President Trump's election as President of the United States at the end of 2016 and his promises of major reforms.

Dow Jones wiped 1,175 points of its value to 24,345.75 points. This represents a fall of 4.6% and is the worst day in the history of the blue-chip index across the ocean. During the session, Dow Jones lost 1,500 points and at the end of the session it managed to make up some of the losses.

The S & P 500 declined by 4.1% to 2 648.94 points.

Technology index Nasdaq dropped with 3.78% to 6,967.53 points. Initially Apple and Amazon shares traded on green territory and this supported the Nasdaq. Then, however, these papers joined the mass waves and lost more than 2% of their value.

Among the big losers was Exxon, whose shares declined by 5.7%, the biggest one-day drop since August 2011.

In currency markets, the value of the dollar strengthens, supported by data on rising employment in the United States, suggesting accelerating weaker wage growth, which will also drive up inflation, writes Market Watch. One euro reached 1.2415 dollars, compared to 1.2459 dollars for one euro on Monday.

Negative sentiment also covered oil markets. Light crude oil fell 2.3 percent to 63.94 dollars a barrel. The European variety Brent closed trade at a price of $ 67.55 a barrel, which is the lowest in a month. The change compared to Friday is within 1.5%.

Trade and US dollar strengthened and increased oil production in the United States.

Gold prices fell by 0.1 percent to $ 336.50 per troy ounce.

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