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US stock markets entered a deeper session on Wednesday. After big losses on Monday, stocks fell again: the Nasdaq lost 2%, the S&P 500 fell 1.4%, and the Dow fell more than 1%. Even as China eases its Covid restrictions, which should boost the country’s economy, investors are increasingly concerned that the Federal Reserve may continue its inflation-fighting rate hikes for longer than expected. The central bank’s policymakers are set to raise rates by another half a percentage point when they meet next week. Read live notifications Here.
Another prospect weighing on investors’ minds? The possibility of a recession next year, especially as the central bank works to cool the economy. Many CEOs of America Appeared on CNBC on Tuesday To weigh the possibility of recession. JP Morgan CEO Jamie Dimon said a number of factors, including geopolitical crises and sustained rate hikes, “could derail the economy and cause this moderate to severe recession that people are worried about.” Meanwhile, Walmart CEO Doug McMillian said the slowdown may be necessary to reduce inflation. While GM CEO Mary Parra said she wouldn’t call a recession, she said the automaker plans to be “very conservative” in 2023.
ATLANTA, GEORGIA – DECEMBER 06: US Senator Raphael Warnock (D-GA), Georgia Democratic Party Senate candidate, speaks during the Election Night Watch Party at the Marriott Marquis on December 6, 2022 in Atlanta, Georgia. Senate. Warnock defeated his Republican challenger Herschel Walker in a run-off tonight. (Photo by Win McNamee/Getty Images)
Win Mcnamee | Getty Images News | Good pictures
Sen. Raphael Warnock History was made on Tuesday night Became the first full-term black U.S. senator elected by Georgia. His victory in a runoff against Republican candidate and former football player Herschel Walker — who has the support of former President Donald Trump — gave Democrats a 51-49 lead in the Senate, giving them more leverage and igniting—a better-than-expected midterm election cycle for the party. Although Democrats lost the House, they actually gained a seat in the Senate. Usually, the incumbent president’s party suffers big losses during the midterms. Now, while President Joe Biden won’t be able to advance his legislative agenda for the next two years, he will now have an easier time confirming the judges and cabinet appointments he needs to make.
UAW Local 5960 member Kimberly Fuhr inspects a Chevrolet Bolt EV during vehicle assembly at the General Motors Orion Assembly Plant in Orion Township, Michigan on Thursday, May 6, 2021.
Steve Fecht for Chevrolet
This is a first for the United Auto Workers. On Wednesday and Thursday, union A referendum will be held A joint venture between General Motors and LG Energy Solutions to lay off about 900 workers at an electric vehicle battery plant in Ohio. Employees are expected to vote in favor of the company, which will help set a precedent for UAW workers that the auto industry is moving away from producing EVs and gasoline-powered cars. “If they can show that the workers there trust the union, it could put more pressure on other battery plants to follow suit,” Art Wheaton, a labor professor at Cornell University, told CNBC. The GM-LG Energy Solutions joint venture, Altium, plans to build at least four battery plants, while rivals Ford and Stellar have battery-plant plans.
A Ukrainian serviceman is seen in the trenches on the front lines of Bakmut in Donetsk, Ukraine on December 04, 2022.
Anadolu Agency | Anadolu Agency | Good pictures
Ukrainian and Russian forces are engaged in fierce trench warfare in Ukraine’s Donetsk region. After months of advances on the battlefield by Ukraine’s military, the Russians are trying to capture the small town of Baghmut in the country’s southeast. Meanwhile, Ukraine has yet to officially claim responsibility for drone strikes on bases within Russia’s borders. US Secretary of State Anthony Blinken said the Biden administration did not encourage or enable Russia’s invasion of Ukraine. Read live battle announcements Here.
— CNBC’s Tanaya Machill, Rebecca Picciotto, Kevin Breuninger, Michael Wayland and Holly Elliott contributed to this report.
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