Stock Market: Nasdaq Crashes, Fear Index Soars

The world of the stock exchange has been greatly shaken by the recent decision of the Bank of Japan to raise its key interest rate. After a moment of hesitation, the markets seem to be back on their wild course. Wall Street, in particular, experienced a new setback with the skyrocketing of the VIX index, known as the “fear index,” reflecting growing nervousness among investors.

Stock Exchange: Volatility Sows Panic

The New York Stock Exchange, which is on the tracks of crypto, has become a battlefield again. While the Dow Jones and Nasdaq were collapsing, the VIX index, the volatility barometer, was soaring. Yet everything had started well, with the Dow Jones and Nasdaq rising again after reassuring remarks from the Bank of Japan.

But this optimism was short-lived. Concerns related to the new rate hikes in Japan destabilized the markets, leading to a massive liquidation of speculative positions on the yen.

This turnaround caused a generalized panic, where even safe values were affected. The “carry trade” on the yen, once a winning strategy, became a bear trap for reckless investors.

Faced with this instability, the market plunged into an infernal spiral, where every recovery attempt is met with a wave of sales fueled by fear.

Sectors Affected by the Wall Street Debacle

The domino effect was felt in many sectors, particularly those related to tourism and technology. Airbnb, for example, saw its stock drop by 13.38%, a dizzying fall due to forecasts of slowing tourist demand in the United States.

Similarly, Disney, despite a rising revenue, saw its stock collapse under the weight of concerns related to its theme parks.

Most affected sectors:

• Tourism: Airbnb (-13.38%), Tripadvisor (-16.61%), Expedia ;
• Technology: Nvidia (-5.08%), Meta (-1.05%), Tesla (-4.43%).

This unappealing picture shows how ruthless the stock exchange can be, even for industry giants. The current volatility makes investors reconsider, wondering whether it’s still time to seek refuge or if it’s already too late.

The Crypto Fear & Greed index for Bitcoin, in free fall, has reached its lowest level in two years, signaling growing panic across all financial markets.