US shares retreat overnight as volatility hits two-year high

clock

Shares on Wall Street have recorded the worst three-day streak since 2011 after another sharp move lower overnight, with investors continuing to fret over the end of the US Federal Reserve's bond buying programme.

With the Fed poised to stop purchases at the end of this month, markets are seeing huge increases in volatility as the era of money printing which has propped up markets for so long finally gets removed. While the removal of stimulus signals the US economy has healed to some extent, investors remain unconvinced the strength of that recovery is enough to keep share prices at these levels.  As a result, traders used the impending removal of QE to sell shares once again, with US stocks sliding last night. The S&P 500 closed down 1.7%, taking one month losses to around 7.5%, while the ...

To continue reading this article...

Join Professional Adviser

  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Members-only access to the editor’s weekly Friday commentary
  • 
 Be the first to hear about our events and awards programmes.

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Bank of England

Bank of England holds rates at 5.25% after inflation falls

MPC in split decision after inflation unexpectedly fell in August

Valeria Martinez
clock 21 September 2023 • 3 min read
Food inflation remains well above the headline rate but has also fallen, down to 13.6% from las month’s 14.9% figure.

Rate rise remains likely despite surprise inflation fall to 6.7%

Prospect of more hikes cannot be taken 'off the table'

James Baxter-Derrington
clock 20 September 2023 • 1 min read
Even during the Global Financial Crisis, opinions of the Bank of England remained positive

Public satisfaction with Bank of England falls to record low

Only 19% satisfied with the BoE's performance in fighting inflation

Elliot Gulliver-Needham
clock 19 September 2023 • 1 min read