U.S. stocks fell sharply on Thursday, as robust corporate earnings and strong economic data did little to offset Wall Street jitters about higher interest rates. The Dow Jones industrial average closed over 1,000 points lower at 23,860.46, entering correction territory. The 30-stock index also closed at its lowest level since November 28. The Dow is also on track to post its biggest weekly decline since October 2008.
The moves on Wall Street consequently dampened sentiment in Asia and Europe, with investors watching closely to see if global indexes go into a correction.
U.S. stocks have generally been moving higher for about nine years and during that time, indexes have gained around 300 percent, not including dividends.
Nonetheless, over the past year, the record bull run has been viewed with skepticism by many market watchers, who have frequently warned against historically overvalued stock prices. The main drivers of so-called inflated asset prices are thought, in part, to stem from synchronized global growth, unhinged exuberance among traders and prolonged stimulus from central banks.
