Global Markets Face Downturn Amid Moody's US Downgrade
Global shares and US futures declined following Moody's downgrade of the US credit rating due to escalating debt issues. European and Asian markets witnessed mixed reactions as China reported slower economic growth. The oil market also faced declines, while Wall Street remained optimistic amidst improving trade relations.
Global markets suffered a setback as Moody's downgrading of the United States sovereign credit rating led to declines in shares and US futures. This downgrade comes amid growing concerns over the country's inability to manage its rising debt.
The US dollar weakened, impacting the S&P 500, Nasdaq, and Dow Jones, with the latter two showing marginal gains last week due to anticipated trade negotiations. European indices mirrored this trend, while Asian markets showed mixed results, with Chinese growth figures falling short of expectations.
With oil prices dipping slightly, economic recovery signs offer some relief as better-than-expected inflation data could prompt the Federal Reserve to consider interest rate cuts later this year.
(With inputs from agencies.)
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