Analysts had warned that the stock market probably would be more volatile in 2018 because prices simply can’t keep climbing without interruption. Some of the heaviest losses in the aerospace, healthcare, energy, technology and financial-services industries. Boeing Co. and Exxon Mobil Corp. fell 5.7%, Facebook Inc. lost 4.7% and Netflix Inc. tumbled 4.9%.
“The concern today is that the Fed may need to raise interest rates more quickly and that could hinder economic growth,” Alexandra Coupe, associate director for investment firm Pacific Alternative Asset Management Co. in Irvine, said. Raj Shah, the White House deputy press secretary, told reporters on Air Force One that “markets do fluctuate in the short term. We all know that.” Investors took fright elsewhere in Europe. Stocks in Europe and Asia also fell. Britain’s FTSE 100 slipped 1.5%, France’s CAC 40 slid 1.5% and the DAX in Germany declined 0.8%. Similar happened in Japan, South Korea and Hong Kong. While market fear may not be based in any change in economic fundamentals.