The overall market sentiment has been bearish since the beginning of the year, due to the war between Ukraine and Russia, supply chain disruption, and rising energy prices. In addition, the economy has been under severe inflationary stress, with the Consumer Price Index rising to 8.3% in April, which came higher than the Dow Jones estimate of 8.1%.
Moreover, the stock market has been witnessing a massive sell-off lately, on concerns over the Fed’s aggressive interest rate hikes to fight the multi-decade-high inflation. Investors are worried that the Fed’s aggressive monetary policy tightening could push the economy into a recession, making it difficult for businesses to grow.
