S&P 500 posts worst first half since 1970, Nasdaq falls more than 1% to end the quarter; European stocks log worst quarter since the Covid outbreak as investors stress over inflation and rate hikes 
Stocks fell on Thursday, as the S&P 500 capped its worst first half in more than 50 years. The Dow Jones Industrial Average shed 253.88 points, or 0.8%, to 30,775.43. The S&P 500 slid nearly 0.9% to 3,785.38, and the Nasdaq Composite pulled back by 1.3% to 11,028.74. 
A surge in bond yields earlier in the year and historically pricey equity valuations sent tech stocks tumbling first, as investors rotated out of growth-oriented areas of the market. Rising rates make future profits, like those promised by growth companies, less attractive. 
Cruise stocks continued to drag, after Morgan Stanley cut its price target on Carnival roughly in half Wednesday and said it could potentially go to zero. Carnival shares were down more than 2% Thursday. Royal Caribbean and Norwegian Cruise Line each fell more than 3%. 
On Thursday, Universal Health Services fell 6.1% and helped lead the market lower after it issued second-quarter earnings and revenue guidance below expectations, citing lower patient volumes. Shares of HCA Healthcare lost 4.3%. Abiomed and Viatris were lower by more than 3%. 
Pharmacy stock Walgreens Boots Alliance was the biggest decliner in the Dow, down 7.2% after the company reiterated its full-year forecast of adjusted per-share earnings growth in the low single digits. 
The core personal consumption expenditures price index, the Fed’s preferred inflation measure, rose 4.7% in May, the Commerce Department reported Thursday. That’s 0.2 percentage points less than the month before, but still around levels last seen in the 1980s. The index was expected to show a year-over-year increase of 4.8% for May, according to Dow Jones. 

The pan-European Stoxx 600 index closed 1.6% lower with all sectors in negative territory. Banks were lower by 2.8% as a banking supervisor in the euro zone asked lenders to assess their recession risks. 
Swedish aerospace and defense company Saab was one of the best performers on the index. It was up 4% after it received a 7.3 billion Swedish crown ($713.9 million) order for two of its GlobalEye Airborne Early Warning and Control aircraft planned for delivery in 2027. 
Source: CNBC, Investing.com