Stock Market Volatility: Global Markets Tumble Amid Economic Concerns

Global stock markets experienced significant declines as weak economic data and fears of a US recession sparked investor panic. The US stock market saw a sharp drop, with the S&P 500 falling 1.5% and the Nasdaq dropping 2.5%.

The 10-year Treasury yield also fell below 4%, indicating concerns about the state of the economy. These declines were driven by factors such as the contraction in manufacturing, the unexpected decline in construction spending, and rising jobless claims.

In Japan, the Nikkei 225 plummeted 5.8%, while other Asian markets also saw significant drops. Investors are now eagerly awaiting Big Tech earnings and the July jobs report, which could further impact market sentiment.

Additionally, the Federal Reserve's decision on interest rates is being closely watched, with expectations of a rate cut in September. Overall, the volatility in global stock markets reflects the uncertainty surrounding the state of the global economy and the potential for a recession.