Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. Stocks Fall as Investors Worry About Recession Ahead

Stock Markets May 24, 2022 09:57AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Liz Moyer

Investing.com -- U.S. stocks sank lower on Tuesday, weighed down by a sharp decline in shares of the social media platform Snap, which warned about its ability to meet forecasts for the second quarter because of deteriorating economic conditions.

At 10:30 AM ET the Dow Jones Industrial Average was down 401 points, or 1.3%, while the S&P 500  was down 2.1% and the NASDAQ Composite was down %.3.4

Snap Inc (NYSE:SNAP) shares sank 39% after warning Monday evening that it won't meet previously offered guidance, as the macroeconomic environment has deteriorated faster than it expected. Shares of other social media firms such as Meta Platforms Inc (NASDAQ:FB) and Twitter Inc (NYSE:TWTR) also dropped. The companies use digital advertising, which has been crimped since Apple (NASDAQ:AAPL) made privacy changes to its system. Like other tech companies, Snap said it would slow its hiring to control costs.

The warning raised the alarm on a possible recession, something investors have started to worry about given the Federal Reserve's posture toward interest rates. The central bank is expected to make more half-point rate hikes at its next two meetings to tame inflation, but some worry it will act so aggressively it will tip the economy into a recession. 

The manufacturing purchasing managers' index for April met expectations with a 57.5 reading, while services PMI came in at 53.5, slightly lower than expected.

Abercrombie & Fitch Company (NYSE:ANF) stock fell 28% after unveiling an unexpected loss for the recent quarter. But electronics retailer Best Buy Co Inc (NYSE:BBY) stock rose more than 3% after revenue beat expectations.

Oil prices rose. Crude Oil WTI Futures was up 0.8% to $111.19 a barrel, while Brent Oil Futures crude rose 0.6% to $111.60 a barrel. Gold Futures rose 0.8% to $1,863 an ounce.

U.S. Stocks Fall as Investors Worry About Recession Ahead
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (13)
Nick Farr
Nick Farr May 24, 2022 12:16PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yeah well. Dollar crashing gold might fly. I buy my gold in Thai Baht which is lightweight right now, but that's changing. Why oh why is gold not more desirable than mass printed usd? Fiat money is a lie. It kinda looks like precious metals are somehow (?) held low. There's far too much undisclosed and it's beginning to look like it's deliberately hidden..
Nick Farr
Nick Farr May 24, 2022 12:00PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Recession brings opportunity. Don't be complaining when she knocks at your door or you'll end up in the myopic toilet just like your myopic simple minded friends
Nick Farr
Nick Farr May 24, 2022 11:46AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Little more than blind hope and stupidity posted below.
John Klan
John Klan May 24, 2022 11:01AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Biden blames everyone but Biden for these disasters. Will he start WWIII as an encore? Very likely.
jason xx
jason xx May 24, 2022 11:01AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Blame Biden for problems effecting the entire world? trump was and is a mor. on. his cultists are worse.
Ruslan Lanrus
Ruslan Lanrus May 24, 2022 10:53AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yesterday they did not fear a recession, but today they have already started very strongly. Oh what a disaster!
Steffen vdm
Steffen vdm May 24, 2022 10:29AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
So now investors are worried about a recession? Get monkey pox!
Nick Farr
Nick Farr May 24, 2022 10:29AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Don't de sucked in dude.
neang aee 냥에
neang aee 냥에 May 24, 2022 10:28AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Up with growth, Down with recession.Easy market to be an analyst :)
G D
G D May 24, 2022 10:27AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
My shorts have been JUICY to say the least these past 3 months
Ryan Lennon
Ryan Lennon May 24, 2022 10:27AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
no one cares
ZS Beck
ZS Beck May 24, 2022 10:27AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yeah sure, like you predicted this one will happen. stop the Bs
Nick Farr
Nick Farr May 24, 2022 10:27AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
That's nasty. Sounds like some kind of fungal infection. Go see your local quack for advice.
James Johannsen
James Johannsen May 24, 2022 10:23AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
we're in recession moving into depression
Holy Light
Holy Light May 24, 2022 10:23AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
everything so expensive and price just inflated last time I went to super market. how can we in recession? only stock
Raja Tampan
Raja Tampan May 24, 2022 10:21AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
IS that true? So where is the Super Tuesday now?
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email