U.S. stock futures tumbled Thursday morning, with the major averages on track to post steep declines for the month of June and the worst first half in 52 years as concerns over rampant U.S. inflation and growing fears of a U.S. recession weighed on the markets.
Emily McCormick for Yahoo Finance:
Contracts on the S&P 500 shed about 1.4% as of 7:45 a.m. in New York, and the index paced for a third straight day of losses. Dow futures dropped more than 350 points, or 1.2%, and Nasdaq futures declined by about 1.6%.
Futures held lower after a new report showed core personal consumption expenditures — the Federal Reserve’s preferred inflation gauge — decelerated slightly more than expected in May. This metric rose by 4.7% over last year compared to the 4.8% increase anticipated… Separate data showed real personal spending fell by a larger-than-expected 0.4% in May after a rise of 0.7% in April, suggesting consumers were pulling back with inflation at current levels.
Amid the myriad concerns facing markets as of late, stocks are on track to close out the worst first half of a year in decades. Based on Wednesday’s closing prices, the S&P 500 is set to post a 19.9% decline for the first six months of the year — its worst performance since 1970. For the month of June alone, the index is on track to slide by 7.6%.
All 11 major sectors in the index are heading toward monthly losses… Both the Dow and Nasdaq Composite also headed for marked monthly and year-to-date losses. As of Thursday’s close, the Dow had fallen 14.6% for the first half of the year, and the Nasdaq shed nearly 29%.
MacDailyNews Take: How low can we go?
Inflation is repudiation. — Calvin Coolidge
‘Tis best to get a handle on inflation, if you know how, while you still can. – MacDailyNews, May 11, 2021
Stop the misguided crusade against domestic energy production and profligate federal spending and inflation will be stopped dead in its tracks. It’s not difficult. – MacDailyNews, May 11, 2022
When a business or an individual spends more than it makes, it goes bankrupt. When government does it, it sends you the bill… Make no mistake about it, inflation is a tax and not by accident. — Ronald Reagan
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The MAGA Tsunamis of 2022 and 2024 will wash America clean of addled leftists and their cavalcade of failed anti-American ideas.
Just lie that you won and let your legislatures do the rest…
Thank you again, libturds!!! You are too fscking stupid to know the damage you have done.
Come for the right wing wack jobs. Not disappointed.
Putin’s price hike. Trump’s baby formula and tampon crisis. Covid stock market crash. Putin’s open southern border. SCOTUS’s high gas prices.
All that and, as of today–it’s confirmed with Ketanji now in The Robe–we don’t know what a woman is. Relatedly, I’m starting to wonder if inflation really involves high prices?
M
No Biden mentioned in your DEFLECTION FAULTY BLAME GAME?
Why are you LYING to us regarding Biden’s bad policies and general lack of policies that WORK? Zero so far.
Typical BLIND Biden supporter. When you got nothing, take the attention and heat off Biden and SHIFT blame to everything and anyone but Biden.
Certainly you are free to LIE all you want. But worldwide, the American people particularly, are not buying it, hence Biden’s RECORD low approval ratings.
And finally Democrats are onboard. National poll released yesterday 78% of DEMOCRATS, you read that correctly, say the economy is terrible.
Anyone else you want to blame for the president’s troubles?…
It seems reasonable that AAPL could drop another 15+%. The econ is wobbling and, seemingly, the wobble is far from stability. Seeing AAPL around below $110, wouldn’t surprise.
Interesting quote from Reagan, considering the record-breaking recession that his administration led the country into in 1988.
The 1990-91 recession as not “record-breaking.” It ran for nine months, from July 1990 to March 1991. It was caused by the 1989 savings and loan crisis (see the leader of the Keating Five, John McCain), higher interest rates (U.S. Fed), and Iraq’s invasion of Kuwait (Saddam Hussein), not by Ronald Reagan.
GDP was -3.6% in Q4 1990 and -1.9% in Q1 1991. Neither was a record or even partiularly noteworthy. Other recessions had far worse GDP numbers. Unemployment peaked at 7.8% in June 1992, also nowhere near a record.
And mild recessions are a normal part of the self-correcting business cycle. Just like being on a gold standard backed currency automatically fixed both inflated prices as well as recessions for 150+ years. Congress couldn’t increase spending limitlessly as they do now because fake, fiat currency couldn’t be created out of thin air due to the gold backing requirement. And now, look at the mess we are in.