Heavy losses on Wall Street, at -2% Nasdaq

With losses of more than 1%, the main Wall Street indices are moving at the start of the new week, extending their losses from Friday as concerns about the Federal Reserve’s next moves to rein in inflation return to the fore.

Despite Friday’s losses, the indexes have recorded an impressive rally from their mid-June lows, buoyed by hopes that inflation has peaked and the Fed will be able to slow its policy tightening going forward, with smaller increases in its interest rates.

Those expectations pushed the tech Nasdaq to rally 19% from June lows and the S&P 500 to post a 16% rally.

Hopes for a more dovish stance from the Fed in the coming months, however, were dealt a major blow by statements from several central bank officials recently who warned that the central bank will continue to do what is necessary to counter the price rally.

Investors will be awaiting new positions from Fed officials at the central bank’s annual conference in Jackson Hole, Wyoming this week, with Fed chief Jerome Powell’s speech on Friday dominating interest.

Indicators – Statistics

On the board, the Dow Jones lost 440.45 points, or -1.31%, to 33,266.67, while the S&P 500 fell 64.00 points, or -1.51%, to 4,164.55. The tech Nasdaq tumbled 222.64 points, or -1.75%, to 12,486.10.

All 30 stocks that make up the Dow Jones Industrial Average are moving with a negative sign.

The biggest losers are Salesforce (-3.00%), Intel (-2.59%) and Walt Disney (-2.43%).

In a Reuters poll, analysts expect the Fed to raise interest rates by 50 basis points in September after two consecutive 75 basis point hikes. every time it took place during the summer.

For their part, analysts at JPMorgan Chase expect the Fed to make its last of its big rate hikes in September, discounting another 75 basis point hike next month.

With the second-quarter results season behind us, investors’ attention will turn this week to the announcement of the Fed’s preferred measure of inflation – the measure of personal consumption expenditures – but also the second estimate of GDP for the second quarter. Semester.