Dow hits lowest point since 2020 as recession fears grow

Markets are bottoming out as they process the latest interest rate hikes from the Federal Reserve in its battle to fight the highest inflation seen in 40 years.

The Dow Jones Industrial average dropped below 29,400 midday Friday to its lowest point in nearly two years. Since the Fed started raising interest rates in March, the index has lost more than 13.7 percent of its value.

Other indices have followed suit. The S&P 500 fell below its previous 2022 low point, hitting 3,667 on Friday, down more than 15 percent since March and almost 23 percent on the year.