Global Markets Plunge Amid US Recession Fears

Global stock markets experienced a significant sell-off on Monday, driven by fears of a slowing U.S. economy and recession concerns. The S&P 500 fell by 3.1%, the Dow Jones Industrial Average lost over 1,000 points, and the Nasdaq composite dropped by 3.6%. Japan's Nikkei 225 plunged 12.4%, its worst day since the 1987 crash, while European indices such as the Stoxx Europe 600 and the FTSE 100 also saw declines of over 2%. The sell-off was exacerbated by a worse-than-expected U.S. jobs report, which showed a significant slowdown in hiring, and concerns that the Federal Reserve's high interest rates might have overly suppressed the economy. Market volatility was further reflected in the CBOE Volatility Index reaching its highest level since the early days of the COVID-19 pandemic.