“It’s been another volatile 24 hours in markets, with a succession of weak data releases raising further questions about how close the US and Europe might be to a recession,” Jim Reid of Deutsche Bank said.
The S&P 500 stock index slipped 2.01% Tuesday, bringing its rebound from recent lows to an end.
Global bond prices recovered slightly Wednesday as investors moved into the safe-haven assets. The yield on the key 10-year US Treasury note, which moves inversely to the price, fell just under a basis point to 3.171%.
Federal Reserve Chair Jerome Powell, European Central Bank President Christine Lagarde, and Bank of England Governor Andrew Bailey are all due to speak at an ECB event in Portugal later Wednesday, which will be closely watched by traders.
“With the consumer being central to US economic growth, the recent raft of pessimistic readings has led to some concerns that sentiment could become self-fulfilling as consumers hunker down in the face of higher prices, especially fuel and food,” Richard Hunter, head of markets at trading platform Interactive Investor, said.
