Since the beginning of the year, the stock market has suffered from several macroeconomic and geopolitical headwinds. The Federal Reserve’s tighter monetary policy to combat the surging inflation has primarily concerned investors. CEO of BlackRock Larry Fink cited that the stock market is not likely to completely rebound in the second half of 2022, as inflation remains high.
In Friday’s trading session, the S&P 500, Nasdaq Composite, and Dow Jones declined 1.6%, 2.5%, and 1%, respectively, as investors worry that a better than expected labor market situation could keep the Federal Reserve on track to raise interest rates aggressively. According to the labor department’s report, 390,000 jobs were added to the U.S. economy in May, surpassing the 3,28,000 Dow Jones estimates.
