U.S. stocks erased earlier gains to end lower Wednesday after the release of Federal Reserve minutes of its March policy meeting pointed to concerns about stress in the banking sector and a coming recession. The Dow Jones Industrial Average DJIA fell about 37 points, or 0.1%, ending near 33,647 and snapping a 4-session win streak, according to preliminary FactSet data. The S&P 500 index SPX shed 0.4% and the Nasdaq Composite Index COMP closed 0.9% lower. It was a volatile day of trade, with the S&P 500 swinging nearly 50 points from its intraday high to low, its biggest such intraday move in roughly three weeks, according to Dow Jones Market Data. Stocks fell after Fed minutes showed officials in March were expecting credit conditions for households and businesses to tighten, weighing on economic activity, in the days after the failure of Silicon Valley Bank. Fed staff also indicated they now expect “a mild recession starting later this year with a recovery over the subsequent two years.”
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
0
0
