S&P 500 joins Nasdaq in bear market, Dow drops nearly 900 points
The Nasdaq is already in bear market territory, down 31.5% from its November high
While inflation is rising, stocks are falling as the S&P 500 joined the Nasdaq in bear market territory.
The S&P 500 slid nearly 20% from its Jan. 3 high, entering a bear market on Monday, while the Dow Jones Industrial Average closed down 2.79% after losing 876 points.
The Nasdaq is down 4.68%, but the major Wall Street index is already experiencing a bear market, down 31.5% from its Nov. 19 peak, per Google Finance.
The Associated Press defines a bear market as what happens when a stock or index falls "20% or more from a recent high for a sustained period of time."
The S&P 500 fell 3.88%, dropping more than 150 points by closing.
Causes of the market stress include inflation, increasing interest rates, the Russian invasion of Ukraine, and a lag in China's economy, the AP observed.
Markets are also preparing for a possible 100-point Fed interest rate hike, according to Fox Business.