AMERICA’S favorite retailers were plunged into chaos on Monday as Wall Street suffered its worst day on the stock market in two years.
Walmart, Costco, Dollar Tree, and Target saw stocks plummet on Monday, resulting in the worst day since 2022.
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The Dow Jones Industrial Average fell 1,033.99 points, or 2.6%, while the Nasdaq Composite dropped 3.43% and and S&P 500 tumbled 3%, per Fox Business.
The Dow and S&P 500 had their worst day since September 2022.
The Tokyo-based Nikkei index suffered its worst single-day retreat since the “Black Monday” crash of 1987, closing 12.4% lower, per the New York Post.
European stocks also fell to almost their biggest low in six months.
The pan-European STOXX 600 index dropped 2.2% at 486.79 points — its lowest since February 13.
Target Corp was down 3.81% and Costco Wholesale Corporation dropped 2.46%.
As of 7:44 pm on Monday, Dollar Tree Inc was down by 3.04%. while Walmart Inc. dropped by 1.27%.
“While Friday’s employment report was disappointing, it wasn’t the only worrisome economic indicator, only the latest,” said Greg McBride, the chief financial analyst at Bankrate.
“Couple economic concerns with the cacophony of earnings disappointments and weak corporate outlooks, global unrest, and currency gyrations, and you have the recipe for sudden volatility.”
Wall Street’s “Fear Index” jumped to a high of 65.73 before the market opened for the day – up about 42 points from its close on Friday.
“There’s no question that last week something was broken (in markets) and it’s going to take some time to fix this damage,” Joe Tigay, portfolio manager for Rational Equity Armor Fund told the New York Post.
It comes as the battle between Vice President Kamala Harris and former President Donald Trump continues to ramp up ahead of the US election.
The sudden change after President Joe Biden dropped out of the race on July 21, has raised major questions for the country.
Harris is attempting to overtake Trump in the polls with just three months before the presidential election.
“If the market continues to fall and the economy continues to weaken, that definitely gives Trump and Vance some ammunition to say, ‘we are stronger on the economy, they’ve messed it up’” Dan Boardman-Weston, chief executive at BRI Wealth Management told The Telegraph.
“I think that resonates with people.”
Financial analysts have accepted that the US economy would experience an extremely rare soft landing, meaning that it would slow but avoid a recession.
“The data from the US has been weakening for some time, but the narrative has very much been soft landing,” said Boardman-Weston.
“That just seems to have completely changed.”
However, official figures showed on Friday that job growth dropped to 114,000 below an average of 215,000 over the last 12 months.
“I think there’s a strong possibility there’ll be a recession,” said Boardman-Weston.
Cryptocurrencies also dropped as the price of Bitcoin fell 17.5% to $50,239 a coin on Monday morning.
The price of Ethereum fell 23% to $2,230.
The U.S. Sun has contacted Walmart, Target, Dollar Tree, and Costco for comment.
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