Wall Street Extends Losses

The Dow lost almost 500 points on Monday, and the S&P 500 and Nasdaq were down over 1.5% as investors grew worried about the prospects of a global recession and Fed officials reassured more rate hikes are coming.

Widespread protests against strict COVID-19 restrictions in several Chinese cities exacerbated concerns about the health of the world's second-largest economy while sending shockwaves through global equities markets.

Meanwhile, St.

Louis Fed President Bullard said the Fed needs to hike interest rates a bit further and then keep them there throughout next year and into 2024 to gain control of inflation and bring it back down toward the 2% central bank goal.

Also, Fed Vice Chair Brainard said the string of supply shocks is keeping inflation risks elevated.

On the corporate side, Apple tumbled roughly 2% after a media report said the company would face an approximately 6 million iPhone Pro production shortfall due to unrest at Foxconn's Zhengzhou plant.