Kathmandu. Is this a sign of a recession? This question has become deeper after the big drop in the US stock market. Yes, in the last trading day, there was such a commotion in the US market that indices like Dow Jones and S&P-500 fell sharply.
The impact of the big drop in the US market was visible in the Asian market as soon as it opened on Tuesday, and most markets were trading in the red. What is special is that this is the biggest drop in the US stock market in 2 years.
The shadow of a recession seems to be deepening again due to the fall in the US stock market. In the last trading day, stocks of many large global companies, including Tesla shares (Tesla shares down 15%). The Dow Jones Industrial Average fell 1,100 points in the session. However, the index ended the session down 2.08%, or 890 points, to 4,1911.71.
The S&P 500 followed suit, falling 155.64 points, or 2.70%. The Nasdaq Composite Index fell even more, down 4%, to 17,468.32. This is the biggest drop in the index since September 2022.
Among the big stocks that fell the most amid this huge decline in the US stock market, shares of Tesla (Tesla stock), the electric vehicle company of the world’s richest man Elon Musk, closed at $222.15, down a massive 15.43 percent. In addition, Nvidia shares fell 5.07% and closed at $106.98. Microsoft shares fell 3.34 percent, Amazon Inc. shares fell 2.36 percent and Delta Air Lines shares fell 5.54 percent.
The impact of the earthquake on the US market was also felt in Asian markets on Tuesday. Looking at major Asian markets, South Korea’s Kospi index fell by about 2 percent at the opening, while Japan’s Nikkei index also fell by more than 2 percent. In addition, Hong Kong’s Hang Seng was also trading in the growth zone in early trading.
US President Donald Trump’s tariff war has created a stir in the world. A trade war has begun in the world. On the one hand, the US has imposed tariffs on many countries, while on the other hand, other countries are imposing retaliatory tariffs against the US. In such a situation, there is a risk of inflation in the US. In addition, US inflation data will be released on March 12 and the Producer Price Index (PPI) will be released the next day. Overall, the market seems to be dominated by fears of tariffs, inflation and a global recession. –Agency
