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Dow futures fall nearly 400 points after disappointing retail sales

Stock futures were sharply lower Thursday after retail sales for November fell more than expected, raising fears that the Federal Reserve’s relentless interest rate hikes are tipping the economy into a recession.

Futures tied to the Dow Jones Industrial Average fell 388 points, or 1.13%. S&P 500 futures dropped 1.43%, and Nasdaq 100 futures lost 1.65%.

that suggested inflation is taking a toll on consumers. Retail sales fell 0.6% in November, according to the Commerce Department. That was below Dow Jones estimates of a 0.3% decline.

hares fell more than 2% in the premarket after CEO Elon Musk sold a chunk of his stake in the company.

Those moves follow a down session Wednesday when the Dow fell 142 points, while the S&P 500 declined 0.61% and the Nasdaq Composite dropped 0.76%.

The central bank said it will continue hiking rates through 2023 and projected a higher-than-expected terminal rate of 5.1%. With Wednesday’s half a percentage point hike, the targeted range for rates is currently 4.25% to 4.5%, which is the highest in 15 years.

Despite favorable improvements like modest growth, spending and

The central bank said it will continue hiking rates through 2023 and projected a higher-than-expected terminal rate of 5.1%. With Wednesday’s half a percentage point hike, the targeted range for rates is currently 4.25% to 4.5%, which is the highest in 15 years.

Despite favorable improvements like modest growth, spending and

The central bank said it will continue hiking rates through 2023 and projected a higher-than-expected terminal rate of 5.1%. With Wednesday’s half a percentage point hike, the targeted range for rates is currently 4.25% to 4.5%, which is the highest in 15 years.

Despite favorable improvements like modest growth, spending and.

People assume earnings are going to come down, but it’s the magnitude of that decline and how fast it’s going to happen — we think that is where the surprise is,” Morgan Stanley’s Mike Wilson said Thursday on CNBC’s “Squawk Box.”

“That negative operating leverage that we see from that falling inflation… is what is going to hurt margins, and that’s irrespective of whether there is an economic recession,” Wilson added.

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