According to the last market data for 2022 on Friday, the Dow Jones industrial average index fell by 8.8%, the Nasdaq high-tech index fell by 33.1% and the S&P 500 broad market index fell by 19.4%.
On Friday, the Dow Jones fell 0.48% to 33,059.75 points, the Nasdaq was down 1.09% to 10,362.14 points and the S&P 500 broad market index fell 0.83% to 3821.8 points.
Earlier in December, the Bank of America said in a forecast that the United States is likely headed for a recession by the third quarter of 2023 as demand in the economy is curtailed by the Federal Reserve's determination to continue interest rate hikes until it gets runaway inflation under control.
Inflation, as measured by the US Consumer Price Index (CPI), rose by 7.1% over the 12 months to November, versus 7.7% in the year to October. Historical data showed the lowest annual reading for inflation since December 2021. Even so, it was still three-and-a-half times higher than the Fed’s annual target of 2% per year.