US stocks plunge hard due to interest rate fears

Later this week, the Fed, which has already started raising rates, will make another rate decision. Higher interest rates are generally bad for equity investments.

This puts the valuations of technology funds in particular under pressure. This was evident, for example, from the decline of the Nasdaq. The tech exchange lost 4.7 percent to 10,809.23 points. The Dow Jones Industrial Average fell 2.8 percent to 30,516.74 points.

The broad-based SP 500 was down 3.9 percent to 3749.63 points. That is the lowest level since January last year and more than 22 percent lower than this year’s high.

Tech companies fell firmly. For example, Apple, which lost 3.8 percent, was not that low in a year. Tesla lost more than 7 percent and Amazon 5.5 percent. Google parent Alphabet, Twitter and Facebook parent Meta Platforms lost up to 6.5 percent. Those companies must do more against fake accounts and fake videos to avoid fines from the European Commission, Reuters news agency reported.

crypto funds lost due to industry problems. Not only have crypto coins been falling hard for some time, for example, bitcoin is below USD 24,000, but there are also a number of companies that have run into problems. Such as the privately held Celsius Network. This led to unrest among investors who already see crypto as risky.

Crypto exchange Coinbase fell more than 11 percent due to the continued decline in cryptocurrencies. Cryptobank Silvergate Capital lost almost 17 percent due to the depreciation of the cryptos. Microstrategy also suffered from the fall in bitcoin price and fell more than 25 percent. The software company owned more than 129,000 pieces of bitcoin at the end of March and lost about 1 billion dollars on it.

Astra Space plummeted just under 24 percent. The launch of a rocket from the space company this weekend didn’t go well and a pair of NASA satellites could not be placed in orbit.

The euro was worth $1.0411 against $1.0431 at the closing bell in Europe. A barrel of US oil cost 0.1 percent more at $120.83. Brent oil also rose 0.1 percent, at $122.08 a barrel.

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