Logically, the higher the peak, the steeper the fall. One of the main US stock indices suffered a massive sell-off after hitting highs. Here we are referring to the Dow Jones Industrial Average that had broken several records before plunging. Remarkably, the plunge was significant, so we can also call it a record. The Dow Jones was not alone in descending. It was accompanied by other US major stock indices. While the Dow Jones fell by 3% to 25,479.42 points, the S&P 500 lost 2.9%, having settled at 2,840.60 points. At the same time, the Nasdaq slumped by 3%. Moreover, the yields of the US Treasuries also decreased. The 10-year bonds yields dipped to 1.619%, while the 2-year notes yields declined to 1.628%. The recent plunge in the Dow Jones index has turned to be the worst so far this year. With the current sentiment on the market, the index faces more downward risks. The US stock market demonstrated this year’s steepest intraday fall twice in the first two weeks of August. At the beginning of the month, the US indices showed the worst performance amid the escalation of the US-China trade conflict.
