Shares fall as investor morale weakens due to rate concerns, while yields climb

U.S. and European stocks slid on Wednesday as the outlook for rate hikes sullied sentiment, while bond yields rose after euro-zone gross domestic product beat expectations, adding to bets of a more hawkish European Central Bank.

The S&P 500 and the Dow Jones both closed lower on Wednesday as investors worried about the outlook for the economy.
Crude oil surged to a 13-week high, while Exxon Mobil shares hit a new record. Analysts warned that Intel could pre-announce weaker-than-expected earnings for the second quarter.
The pan-European STOXX index fell 0.57% as concerns about growth weighed on banking shares.
MSCI’s gauge of stocks across the globe dropped 0.56%.

The euro hit a seven-year peak against the yen and the dollar hit a fresh 20-year high against the Japanese yen.
The Organization for Economic Cooperation and Development slashed its growth outlook to 3% this year from 4.5%.
Oil prices rose as U.S. crude hit a 13-week high despite a rise in domestic crude inventories, as supplies looked likely to tighten.

This report’s information was first seen on Reuters; to read more, click this link.