The stock market has experienced a turbulent year so far due to various macroeconomic headwinds and persistent geopolitical issues. The Dow Jones Industrial Average (DJIA) has declined 14.5% year-to-date to close the last trading session at 31,072.61, while the Nasdaq Composite and the S&P 500 have lost 27.4% and 19.6% to close the last trading session at 11,360.05 and 3,830.85, respectively.
The economy has been facing its worst inflation in 41 years, with the June consumer price index rising 9.1% from the year-ago period. Since the Federal Reserve has been actively trying to control the surging inflation by hiking the benchmark interest rates, investors are concerned about the economy tipping into a recession.
