Wall Street suffering its worst day this year on Wednesday, after movements in the bond market signaled the sharpest indication yet of an approaching recession.
The Dow Jones Industrial Average closed with a decline of 800 points, a drop of over 3 percent. The S&P 500 closed down 2.93 percent, and the Nasdaq posted a decline of 3.02 percent. The market selloff was the result of an inverted yield curve in government bonds; which has preceded every recession for the past 50 years.
President Donald Trump blamed the Federal Reserve for the market plunge, calling Fed Chairman Jerome Powell “clueless” in a Wednesday afternoon tweet. Ongoing issues such as President Donald Trump’s trade war with China and the still-unresolved crisis over Brexit remains a key threat to the U.S.