Global Markets Stumble as Dollar Strengthens Amid U.S. Economic Resilience

Global stock markets fell as the U.S. dollar hit a two-year high. Despite robust labor data, Wall Street saw broad declines, notably in consumer discretionary stocks. European stocks rose slightly, buoyed by energy gains. The dollar's surge reflects U.S. economic strength relative to peers and comes amidst ongoing stock market volatility.

Global stock markets continued their decline on Thursday, entering the new year on a downward note while the U.S. dollar ascended to a two-year high, reflecting robust economic indicators from the United States.

U.S. stock indices, including the S&P 500 and Nasdaq, ended the day lower, with consumer discretionary stocks leading the declines due to a significant drop in Tesla shares. The labor market remained resilient, with unemployment claims hitting an eight-month low, which contributed to the dollar's strength.

Meanwhile, European markets showed marginal gains, supported by energy stocks. The dollar's strong performance highlights its dominance as U.S. economic growth expectations outpace those of other developed nations, placing pressure on other global currencies such as the euro and the yen.

(With inputs from agencies.)