Wall Street enters bear market? Wall Street continued to fall on Monday as the S&P 500 and the Dow closed in negative territory as investors feared that the Fed’s aggressive anti-inflationary campaign could lead to a sharp decline in the U.S. economy.

Wall Street in bear market. After the Fed signaled last Wednesday that high interest rates could continue through 2023, the S&P 500 Index lost ground from its recent summer rally.

Confidence among stock traders was also shaken by sharp swings in global currency markets as the pound hit an all-time low on fears that the new British government’s fiscal plan, unveiled Friday, threatens to drain the Treasury.

The Dow is down 20.5 percent from its closing record on Jan. 4. By the widely accepted definition, ending the session 20% or more below the record level confirms that the Dow has been in a falling market since it reached its January peak.

The S&P 500 has not yet fallen below its June 17 low. It has lost about 23% since the start of 2022.

Earlier we reported that the cost of gas in Europe falls on expectations of increased wind generation.