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U.S. Navy "Not Yet Ready" to Escort Tankers, Energy Price Volatility Continues to Rattle Markets
According to CCTV Finance, fluctuations in energy prices continue to affect market nerves. U.S. Secretary of Energy Rick Perry stated on March 12 that the U.S. Navy is “not yet ready” to escort oil tankers crossing the Strait of Hormuz. Shipping security still faces significant uncertainties, intensifying investors’ concerns that ongoing turmoil in the energy market will continue to drive inflation higher. Wall Street investment bank Goldman Sachs has delayed its expectation of the Federal Reserve’s first rate cut of the year from June to September, significantly reducing investors’ risk appetite. All three major U.S. stock indexes closed at their lowest levels of the year. By the close, the Dow fell 1.56%, the S&P 500 dropped 1.52%, and the Nasdaq declined 1.78%.
Aside from technology and chip stocks, financial stocks also experienced widespread sell-offs. A recently disclosed regulatory document shows that a private credit fund under major U.S. investment bank Morgan Stanley received redemption requests amounting to about 11% of its circulating shares in the first quarter. The fund limited this ratio to 5%, meaning it paid out less than half of the requested amount. This has raised concerns about liquidity in the private credit market, and Morgan Stanley’s stock price fell over 4% on Thursday.