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The spread of the novel coronavirus pneumonia worldwide has continued to detonate market risk aversion. U.S. stocks suffered a historic drop last week, and European markets also suffered a lot of blood loss. Can market sentiment be optimistic about the Fed's commitment to help when necessary? Can interest rate cuts effectively boost the economy? Investors are still waiting.
European and American stock markets suffer "great loss of blood"
On a weekly basis, the three major U.S. stock indexes all fell more than 10% last week. Among them, the Dow has dropped more than 1000 points in two trading days. Last week, the Dow lost 3583 points, the largest weekly loss point in the history of US stocks. The weekly decline was 12.4%, the largest weekly decline since October 2008.
The S & P 500 fell 11.5% a week, the worst weekly performance since the financial crisis. Only two stocks in the index rose, 96% of which were in the correction range, with a total market value of about $4 trillion evaporated from a record high in February. The NASDAQ fell 10.5%, nearly 13% lower than a record high.
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