This archive report was first published on 9 January 2020.
On Tuesday, US stocks plummeted, with investors concerned about the Federal Reserve's potential interest rate hike and the strengthening US dollar's impact on exports.
The Dow Jones fell 332.78 points, or 1.85%, to 17,662.94, while the broader S&P 500 dipped 35.26 points, or 1.7%, to 2044.17, erasing all gains made in 2015.
The tech-focused Nasdaq shed 82.64 points, or 1.67%, to 4,859.79.
The US dollar continued its strengthening trend, rising 1.4% to 12-year highs against the euro, causing worries among investors about the potential impact on US firms' profits and competitiveness.
Analysts believe that the strong dollar could hurt US firms' overseas earnings and make it harder for them to compete with rival firms in other countries.
Meanwhile, the looming prospect of an interest rate rise by the Federal Reserve is bad news for some firms, which have benefited from being able to borrow very cheaply as a result of record-low rates.
As Michelle Fleury, business reporter, noted, 'The US dollar is flexing its muscles and causing considerable anxiety among investors.'
She added that the prospect of a rate rise sooner rather than later in the world's largest economy is a big factor behind the currency's new-found strength.
However, the pace of the dollar's rise is making some on Wall Street nervous, with concerns about the US economy's ability to cope and the potential impact on corporate earnings.
One bright spot in the US corporate landscape was clothing retailer Urban Outfitters, which saw its shares rise by almost 12% after reporting better-than-expected fourth-quarter results.
Urban Outfitters' same-store sales rose by 6% compared to a year earlier, and net income was $80m for the three-month period ending 31 January 2015.
