Market Watch: May 13
Big Picture
Markets Struggle as U.S. Inflation Remains High
Equity markets remained volatile this week as investors assess a wide range of concerns—from inflation and rising rates to slowing global growth and the war in Ukraine. The ongoing market selloff continued Monday, with North American stock indexes sliding to new lows for 2022. The Dow dropped 653 points, the S&P 500 lost 132 and the Nasdaq plunged 521 points, or 4.3 per cent. In Canada, the TSX lost 633 points, closing below 20,000 for the first time since last summer. Meanwhile the loonie on Monday weakened to its lowest level in 17 months against the greenback (US77.01 cents).
It was another volatile session Tuesday as U.S. stocks swung between gains and losses. While the Nasdaq and S&P 500 recorded minor gains, the Dow and TSX sunk further by Tuesday’s close. In U.S. bond markets, 10-year U.S. Treasuries fell back to roughly 3 per cent after climbing to 3.2 per cent Monday.