Wall Street plummets to start the week

The Australian stock market slipped into the red at the open on Tuesday, following on the heels of another stock market sell-off on Wall Street overnight and extending Monday’s losses.

As of 10:30am AEST, the ASX200 was down 0.5 percent, or 32.3 points, at 7014.6. Consumer staples are dragging the stock market lower, with Endeavor Group emerging as the biggest loser in the stock so far, down 7.9 percent, followed by Credit Corp Group, which lost 6 percent, while Telix Pharmaceuticals slipped 5.1 percent.

Wall Street has started the week with heavy losses.

Wall Street has started the week with heavy losses.Credit:access point

Meanwhile, Altium is up more than 21 percent to $36.43, followed by Ansell with gains of 7 percent and Lake Resources up 5 percent.

Overnight, the S&P 500 saw its biggest drop since mid-June, with the benchmark falling 2.1 percent, nearly doubling its losses from last week, when it snapped a four-week winning streak. The Dow Jones Industrial Average fell 1.9 percent and the Nasdaq fell 2.5 percent.

Technology companies and retailers had some of the biggest losses. Smaller company stocks also lost ground, sending the Russell 2000 Index down 2.1 percent.


The latest market decline comes as investors grapple with uncertainty over when inflation will slow significantly, its highest in decades, how much the Federal Reserve will have to raise interest rates to rein in them, and how much rate hikes will curb the economy.

Wall Street will be looking for information on these unknowns later this week, when the Federal Reserve holds its annual meeting in Jackson Hole, Wyoming.

“Volatility has spiked as investors are increasingly nervous about what they might hear from officials at the Fed’s upcoming Jackson Hole symposium,” said Jeffrey Roach, chief economist at LPL Financial.

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