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Dow drops below 23,000; Nasdaq flirts with a bear market; Oil in free fall

Dow short dropped below 23,000 on Thursday and Nasdaq flirts with a bear market. US oil prices dropped more than 4% to the lowest level since August 2017.The latest wave of sales shows how troubled investors have been about the possible downturn in the economic expansion. These jitters worsened with concern that the Federal Reserve makes a mistake by continuing to raise interest rates."The stock markets are soon approaching the surrender phase after breaking critical support," Sam Stovall, CFF Research Chief Investment Strategy, told CNN Business.On Thursday's fall, Nasdaq was about to close 20% below the final high-end on August 29th. It is too early to say that Nasdaq is in a bear market: Market analysts tend to calculate bull and bear markets with final figures. But if Nasdaq closes on a bear market, it would join a growing list of downturns in risky assets. The trade war helped to beat China's stock market in a bear market during the summer. Concerned about a supply gluttony struck oil to a bear market last month. Recently, two economically sensitive areas have been bent for the bear: the Russell 2000 Small Cap Index and the Dow Transportation Index. Signs of fear blink on the financial markets. The VIX volatility index climbed on Thursday to the highest level since February when Dow received two 1 ,000 points in a week. The CNN Business Fear & Greed Index of Market Sentiment deepened deeper into the "extreme fear" territory. Investors hoping to be rescued by…

Dow short dropped below 23,000 on Thursday and Nasdaq flirts with a bear market. US oil prices dropped more than 4% to the lowest level since August 2017.

The latest wave of sales shows how troubled investors have been about the possible downturn in the economic expansion. These jitters worsened with concern that the Federal Reserve makes a mistake by continuing to raise interest rates.

“The stock markets are soon approaching the surrender phase after breaking critical support,” Sam Stovall, CFF Research Chief Investment Strategy, told CNN Business.

On Thursday’s fall, Nasdaq was about to close 20% below the final high-end on August 29th. It is too early to say that Nasdaq is in a bear market: Market analysts tend to calculate bull and bear markets with final figures.

But if Nasdaq closes on a bear market, it would join a growing list of downturns in risky assets. The trade war helped to beat China’s stock market in a bear market during the summer. Concerned about a supply gluttony struck oil to a bear market last month.

Recently, two economically sensitive areas have been bent for the bear: the Russell 2000 Small Cap Index and the Dow Transportation Index.

Signs of fear blink on the financial markets. The VIX volatility index climbed on Thursday to the highest level since February when Dow received two 1

,000 points in a week. The CNN Business Fear & Greed Index of Market Sentiment deepened deeper into the “extreme fear” territory.

Investors hoping to be rescued by the Fed were still disappointed by the central bank statement and Jerome Powell’s press conference on Wednesday. Fed calls back its 2019 rising forecasts, but hit a more optimistic tone than signaled by the market. And Powell suggested that the Fed will continue to reduce its balance sheet despite the market fair.

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