On June 18, local time, the U.S. stock market fell across the board, and the Dow Jones Industrial Average hit its biggest weekly decline since October last year.
The Dow Jones Industrial Average fell 532 points, or 1.6%.
The Standard & Poor's 500 Index fell 1.3%, and the Nasdaq Composite Index closed 0.9% lower.
The Dow Jones and S&P 500 both hit daily lows in the last few minutes of trading.
The Dow Jones Index has fallen 3.5% overall this week, marking its biggest weekly decline since October last year.
The S&P 500 and Nasdaq have also fallen 1.9% and 0.2% so far this week.
Some analysts believe that the Fed’s expectations for an early interest rate hike this week have led to pressure on the stock market.
Previously, the Fed added two interest rate hikes in its forecast for 2023 on June 16 and increased its inflation forecast for this year, which led to a sensitive reaction in the stock market.
According to the analysis, some investors are worried that if the Fed tightens policy earlier than expected to help ease inflationary pressures, this may affect future economic growth.
Corresponding to the stock market, the U.S. Treasury yield curve has flattened.
This means that the yields of short-term Treasury bonds such as 2-year Treasury bonds have risen, while the yields of long-term Treasury bonds such as the benchmark 10-year Treasury bonds have fallen.
The fall in long-term bond yields reflects a decline in optimism about economic growth, while the jump in short-term yields shows the Fed’s expectations of raising interest rates.
In addition, commodity prices were under pressure this week, and the dollar strengthened.
Copper, gold and platinum fell again.
Today (18th) is the so-called quadruple magic day, that is, the expiry date of stock index futures, stock index options, individual stock futures and individual stock options.
The "Quadruple Magic Day" amplifying market volatility may also be one of the reasons for more turbulence in intraday trading.
(CCTV reporter Xu Dezhi)