A massive sell-off sent US stocks sharply lower on Tuesday following a report showed US inflation unexpectedly rose in August, dashing hopes that the Federal Reserve will ease policy tightening in the near future.
All three major US stock indices fell sharply, halting a four-day winning streak, and incurring the largest one-day loss in more than two years.
Increased risk aversion pushed all major sectors lower, with interest rate-sensitive technology stocks led by Apple, Microsoft and Amazon being the biggest losers.
The US Labor Department said its consumer price index rose 0.1 percent last month, following remaining unchanged in July. Economists polled by Archyde.com had expected a 0.1 percent drop.
According to preliminary data, the Standard & Poor’s 500 index fell by 177.72 points, or 4.32 percent, to close at 3932.69 points, while the Nasdaq Composite lost 631.41 points, or 5.16 percent, to fall to 11,635.01 points. The Dow Jones Industrial Average fell 1285.66 points, or 3.97 percent, to 3,1095.68 points.
(function(P,o,s,t,Q,r,e))(
window,document,’script’,’//widget.postquare.com/_widget_loader.js’,’__posWidget’);
__posWidget(‘createWidget’,wwei:’POSTQUARE_WIDGET_122394′,pubid: 165709,webid:171079,wid:122394,on:’postquare’);
