S&P 500 closes at new low for 2022 and Dow falls 458 points as sell-off resumes on recession fears

US stocks sank Thursday after a relief rally in the prior session was followed by renewed selling.

At one point in the afternoon, the stock market had its worst day of the year, with the Dow Jones Industrial Average falling over 600 points. The S&P 500 closed at a new closing low for the year.

The pound fell to 37 year lows last week due to the government's plan to cut taxes. Krugman, El-Erian, and Roubini warned that the new fiscal policy could cause UK inflation to surge even higher and lead to a recession.

Apple's stock price fell as Bank of America lowered its rating on the company's stock. It's the second steep loss of the week for the company, following Wednesday's sell-off after a report that weaker demand scuttled plans for expanded iPhones.

The yield on the Treasury jumped again as investors pondered the Fed's stance on the economy. The 10-year Treasury yield went up. The yield on the key government bond reached 4% on Wednesday for the first time in six years.

The US indexes were at their closing bell.

There are other things happening today.

• Former Treasury Secretary Larry Summers warned that the latest market rout has parallels to the opening moments of the Great Recession and that volatility in the UK risks spreading worldwide.
• China told state banks to prepare for a massive dollar dump and a yuan buying spree as Beijing's prior interventions have failed to stop the yuan from plunging this year.
• Retail investors are showing signs of throwing in the towel if shares of Apple and Tesla start to tumble, Vanda Research said in a note.

Commodities, bonds, and coins.