Major stock indices declined in February, as market volatility increased. The S&P 500 snapped a 10-month winning streak by declining 3.9%. The Dow Jones Industrial Average and Russell 2000 also declined near 4.0%, while the NASDAQ, faring better than the others, declined 1.9%. February marked the worst performance for both the Dow and the S&P 500 in two years. In a wild ride, the Dow fell more than 3,200 points, or 12%, in just two weeks, recovered nearly three-fourths of those losses, and declined another 680 points in the final two days of the month.
Fears of an overheating market and strong inflation expectations are believed to be the culprit of the month’s market swings. Comments are closed.
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