Stock Markets Make Recovery after Recent Crash

US stocks have gained back some of their recent losses and are looking much better after the recent market crash.

Timothy St. John•Tuesday, August 6, 2024•2 min read

In a market correction, US stocks recovered somewhat on Tuesday following several days of sharp declines. All three major indices were up and showing signs of recovery.

Not all of the losses were replaced, however. The S&P 500 had dropped from 17,756 to 15,866 points at its lowest point recently. It then climbed back up to 16561 on Tuesday, marking a partial rebound. For Tuesday, the S&P 500 was up 2.23%, one of its biggest increases in weeks.

The Nasdaq Composite was up by 2.26% on Tuesday, marking a partial recovery there as well. The Dow Jones Industrial Average gained 1.62% also, rounding out the market indices with its increase and painting a picture of a market slowly regaining its health and strength.

Trading resumed at a brisk pace on Tuesday, with tech stocks climbing by almost 2%.

Is the Stock Market Safe for Now?

All three major indices were sharply down on Monday during the trading sessions. The Dow Jones dropped by 2.6%, and the Nasdaq fell by 3.4%. The S&P 500 lost 3%, which was its worst decline in almost a year.

The market is in a state of volatility right now after a US unemployment report showed that the jobs market was not doing as well as expected. That period caused the US stock market to drop sharply and negatively impacted the cryptocurrency market as well.

The impact of that report has not been eased by any new positive economic data, so the market will likely continue to operate at less than its peak. Tuesday’s stock market jump can be attributed to a price correction, and we do not expect a repeat anytime soon. If the market improves, it is anticipated that this improvement will be gradual over the next few days and until new economic data is released. Investors should expect market volatility for the near future, however.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.