We’re back with a midday market update cover why stocks are down today and what investors need to know.
But before that, consider checking in on the biggest pre-market stock movers from this morning. It’s always interesting to compare how the market was doing this morning to how it’s performing now.
So why are stocks down in our midday market update? Unfortunately, economic fears are behind today’s fall. There’s growing concern among traders that more lockdowns could be on the way thanks to the Delta variant of the novel coronavirus. That could result in a blow to major stocks as the economy suffers.
It’s not just the Delta variant that traders are worried about. Inflation is also on the rise and that’s another sticking point for traders. This comes as shortages affect several markets following lockdowns last year from COVID-19.
Another factor to consider is the results from the Federal Reserve’s July meeting. Talk in that meeting suggests that the central bank could slow its monthly asset purchases. This is a tactic used during pandemics, reports Barron’s.
Here’s a portion of the minutes from that meeting, as collected from CNN Business.
“Various participants commented that economic and financial conditions would likely warrant a reduction in coming months. Several others indicated, however, that a reduction in the pace of asset purchases was more likely to become appropriate early next year.”
All in all, investors have plenty to worry about and fear is never good for the market. We’ll have to wait and see if things continue to get worse in the coming months.
It’s not all bad news today as some stocks are still on the rise.
InvestorPlace tracks the top stocks every day and there are a couple of standout ones for Thursday to look into. That includes Sonnet BioTherapeutics (NASDAQ:SONN) and Sonoma Pharmaceuticals (NASDAQ:SNOA) shares as gainers, with Robinhood Markets (NASDAQ:HOOD) stock not doing so hot. You can learn all about these matters by following the links below!
More Thursday Stock Market News
- SONN Stock: The Social Media Buzz Sending Sonnet Bio Rocketing Today
- SNOA Stock: The Product Launches Sending Sonoma Pharmaceuticals Soaring Today
- HOOD Stock: 10 Reasons Why Robinhood Shares Are Taking a Dive Today
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.