Wall Street is freaking out
Stocks sank for the sixth consecutive day on Thursday, with the Dow Jones Industrial Average plunging more than 500 points. Even though the drop was not as dramatic as Wednesday's 800-point drop, Wall Street is more worried than ever.
The CBOE Volatility Index, sometimes referred to as the "market fear index," is at its highest point since February, CNBC reports. After a slight uptick, fears went skyrocketing on Thursday afternoon as sell-offs continued at frightening rates.
The VIX indicates when investors are getting concerned that markets aren't experiencing a simple "correction," as Treasury Secretary Steven Mnuchin characterized it. The spike to 28.84 shows that the Dow's 1,400-point loss over two days, as well as inflation and continually rising trade tensions between the U.S. and China, could seriously disrupt the relatively steady gains in recent months.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
The decline over the past week has rippled through Asian markets, with indexes in Tokyo, Hong Kong, Shanghai, and Taiwan falling between 3 and 6 percent on Thursday. President Trump has blamed the Federal Reserve's newly-raised rates for the tumble. Read more at CNBC.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Summer Meza has worked at The Week since 2018, serving as a staff writer, a news writer and currently the deputy editor. As a proud news generalist, she edits everything from political punditry and science news to personal finance advice and film reviews. Summer has previously written for Newsweek and the Seattle Post-Intelligencer, covering national politics, transportation and the cannabis industry.
-
Today's political cartoons - February 1, 2025
Cartoons Saturday's cartoons - broken eggs, contagious lies, and more
By The Week US Published
-
5 humorously unhealthy cartoons about RFK Jr.
Cartoons Artists take on medical innovation, disease spreading, and more
By The Week US Published
-
Brodet (fish stew) recipe
The Week Recommends This hearty dish is best accompanied by a bowl of polenta
By The Week UK Published
-
Chinese AI chatbot's rise slams US tech stocks
Speed Read The sudden popularity of a new AI chatbot from Chinese startup DeepSeek has sent U.S. tech stocks tumbling
By Peter Weber, The Week US Published
-
US port strike averted with tentative labor deal
Speed Read The strike could have shut down major ports from Texas to Maine
By Peter Weber, The Week US Published
-
Biden expected to block Japanese bid for US Steel
Speed Read The president is blocking the $14 billion acquisition of U.S. Steel by Japan's Nippon Steel, citing national security concerns
By Peter Weber, The Week US Published
-
Judges block $25B Kroger-Albertsons merger
Speed Read The proposed merger between the supermarket giants was stalled when judges overseeing two separate cases blocked the deal
By Peter Weber, The Week US Published
-
Rupert Murdoch loses 'Succession' court battle
Speed Read Murdoch wanted to give full control of his empire to son Lachlan, ensuring Fox News' right-wing editorial slant
By Peter Weber, The Week US Published
-
Bitcoin surges above $100k in post-election rally
Speed Read Investors are betting that the incoming Trump administration will embrace crypto
By Peter Weber, The Week US Published
-
Enron mystery: 'sick joke' or serious revival?
Speed Read 23 years after its bankruptcy filing, the Texas energy firm has announced its resurrection
By Peter Weber, The Week US Published
-
US charges Indian tycoon with bribery, fraud
Speed Read Indian billionaire Gautam Adani has been indicted by US prosecutors for his role in a $265 million scheme to secure solar energy deals
By Peter Weber, The Week US Published