World shares sink as inflation, economic fears persist

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., May 12, 2022. REUTERS/Brendan McDermid

Wall Street whipsaws, S&P closes lower on worries of prolonged inflation
Oil settles mixed amid Beijing lockdown fears, tight supplies

NEW YORK, May 12 (Reuters) – World equities fell on Thursday to an 18-month-low, with markets dogged by fears high inflation would persist and force central banks to keep tightening monetary policy.

In the United States, stocks ended a whipsaw session slightly lower, as investors juggled fears of nagging inflation with signs it could be peaking. The S&P 500 came within striking distance of confirming a bear market since swooning from its all-time high reached in January.

In Europe, economic worries were exacerbated by a German warning that Russia was now using energy supplies as a “weapon.”