Wall Street Dips Amid Inflation Fears and Global Tensions

Wall Street closed lower due to inflation concerns linked to rising oil prices and geopolitical tensions in the Middle East. Micron Technology and Tesla saw significant declines, and Federal Reserve Chair Jerome Powell warned of uncertainty. Interest rates are expected to remain unchanged until mid-2027.

Wall Street experienced a downturn on Thursday, driven by concerns over inflation associated with escalating oil prices and geopolitical tensions. Notably, declines in Micron Technology and Tesla shares contributed to the negative market sentiment.

Federal Reserve Chair Jerome Powell cautioned about the uncertain economic outlook as the U.S. faces challenges with heightened energy prices due to a conflict between the U.S., Israel, and Iran. The Federal Reserve, alongside the Bank of England and European Central Bank, has maintained steady interest rates amid these uncertainties.

Market analysts, such as Mike Dickson from Horizon Investments, have underscored the real inflation risks. In the market, the S&P 500, Nasdaq, and Dow Jones indices all closed lower than their 200-day moving averages, signaling a loss of momentum.

(With inputs from agencies.)