Wall Street plunges as recession fears grow2019|01:13
The Dow plunged more than 700 points Wednesday as investors fear an impending U.S. recession and global economic slowdown. The S&P 500 and NASDAQ also dropped roughly three percent. Waves of panic were triggered by the bond market - which hit a key metric seen as a sign of recession - and after Germany and China both posted weak economic data. The downbeat mood followed a rally in Wall Street’s main indexes Tuesday thanks to President Trump’s decision to delay tariffs on some Chinese imports until December. But the U.S.-China trade war continues to fray the nerves of several sectors – including retail. Macy’s the biggest decliner on the S&P Wednesday, down as much as 17 percent after cutting its full-year profit forecast as it heavily discounted spring items. Department store operators Kohl’s, J.C. Penney and Nordstrom fell with it. While Trump’s decision to delay tariffs has given retailers some breathing room, they’re still scrambling to sort out what it means for their businesses. Macy’s CEO told CNBC Wednesday that consumers will have “no appetite” for any price hikes caused by Trump’s tariffs.