The Dow ended last week with a 1.3% loss after a plunging on Friday, thereby posting its fourth straight week in the red. The S&P 500 was also down about 1.3% over the past five days, while the Nasdaq dropped nearly 3%. The strong jobs report was overshadowed by the Russia-Ukraine conflict and rise in oil prices.
Moreover, according to Pictet Asset Management, historically, a rise in crude oil prices of the level we are currently experiencing has pushed the United States economy toward a recession. Over the past 50 years, each time adjusted for inflation, oil prices rallied 50% above trend, a recession has followed.
