Financial markets react to inflation

On the first day of the week, the main European stock exchanges closed down. Thus, the French CAC-40 index sank by more than 2.5%, the German DAX - by 2.4%. Markets are reacting to record inflation and the decision of the European Central Bank to tighten monetary policy from July.

During trading on the New York Stock Exchange, key indexes also sank: the Dow Jones industrial index by 2%, the S&P 500 broad market index lost more than 3%, and the NASDAQ high-tech index lost almost 4%.

On Wednesday, the US Federal Reserve will meet, and investors fear a tougher interest rate hike. The highest inflation in the last 40 years and higher rates are pushing investors to abandon risky assets, in connection with which cryptocurrencies have collapsed.

Monday, 28 November 2022