Last week, major U.S. stock indexes including the Nasdaq Composite, S&P 500, and Dow Jones Industrial Average all reported declines, dropping 2.60%, 2.41%, and 2.48% respectively. This downturn has been attributed to escalating Middle East conflicts, an oil price surge of 36% due to military tensions in the Strait of Hormuz, and persistent inflation concerns, which pushed the CBOE Volatility Index (VIX) to 29.49, indicating heightened market uncertainty.
The February Consumer Price Index stayed at 2.4% year-over-year, with a monthly rise of 0.3%. Simultaneously, the unemployment rate edged up to 4.4%, while nonfarm payrolls fell by 92,000 jobs amid disruptions from a healthcare strike and a winter storm. Analysts suggest that the Federal Reserve may maintain current interest rates to support the cooling labor market while addressing energy-induced inflation.
