STOCKHOLM, January 24 (Xinhua) – Nasdaq Stockholm AB, formerly known as the Stockholm Stock Exchange, collapsed on Monday with the OMX Stockholm 30 (OMXS30) index down more than five percent sometimes and eventually closed at minus 3.9 percent.
It was the largest decline since the early days of the pandemic. The OMX Stockholm All-Share (OMXSPI) index performed even worse, ending the day at minus 4.5 percent. This broader index includes the car manufacturer Volvo Cars, whose share fell eight percent on Monday.
Since this year’s peak on January 5, the OMXS30 has lost ten percent of its value, according to a development analyst, driven by a combination of factors, including an expected rate hike from the US Federal Reserve.
– Inflation and interest rate hikes have caused the stock market turmoil we have had since the beginning of the year, says Frida Bratt, savings economist at Nordnet bank, to the news agency TT. “Now we also have the tense situation between Russia and Ukraine. It is not a cocktail that investors like, and many want to withdraw from the market.”
Her view was shared by Mattias Isaksson, head of strategy and allocation at Swedbank, who described the current situation as a snowball effect, where the decline is driving to reduce further.