- Title: Stocks fall, Dow drops for 9th straight session with Fed decision due
- Date: 17th December 2024
- Summary: LAS VEGAS, NEVADA, UNITED STATES (DECEMBER 17, 2024) (REUTERS) (SOUNDBITE) (English) THE WEALTH CONSULTING GROUP, CEO, JIMMY LEE, SAYING: “I think today what's going on is that the Dow had the ninth consecutive day of losses so far. And we've seen a rotation back into some of the, you know, the old names that have led the market for most of the year in the Mag Seven (Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla) and big tech space. And I think you're starting to see a little bit more momentum going into those names, just due to the fact that the idea of less regulation, you know, for those names that, you know, President-elect is much better than what the other choice was with antitrust issues. And so I think a lot of people are bullish about the prospects of that. And also the idea that the spending with these hyperscalers that we're talking about with AI, that we're still fairly early in that that we have a few more years to go.” WHITE FLASH (SOUNDBITE) (English) THE WEALTH CONSULTING GROUP, CEO, JIMMY LEE, SAYING: "I think the Fed's (Federal Reserve) going to cut. Obviously, that's where the market is right now that they're going to cut tomorrow. But, you know, I think it's a coin flip on a pause in January. And I think again, as I've been saying this whole time, (Federal Reserve Chairman Jerome) Powell has been saying how data dependent they are, it'll really depend on the reports that come out between now and a decision to make in January. So, but tomorrow I'm fairly certain that the Fed will cut. If they didn't, it'd be a huge surprise to the marketplace. And I think that a lot of investors would potentially use that as an opportunity to create some selling and some opportunities for volatility."
- Embargoed: 31st December 2024 21:06
- Keywords: 9th straight session Dow Fed decision Nasdaq S&P 500 drop economy rate cut retail sales
- Location: VARIOUS
- City: VARIOUS
- Country: US
- Topics: Economic Events,North America,Equities Markets
- Reuters ID: LVA002783917122024RP1
- Aspect Ratio: 16:9
- Story Text: U.S. stocks retreated on Tuesday (December 17) and the Dow dropped for a ninth straight session, as investors exercised caution ahead of the Federal Reserve's last policy announcement of the year after economic data indicated consumer spending remained solid.
U.S. retail sales increased more than expected in November, buoyed in part by an acceleration in motor vehicle purchases, consistent with strong underlying momentum in a resilient economy.
Investors were largely focused on the Fed's policy announcement on Wednesday (December 18), almost completely pricing in an interest rate cut of 25 basis points.
Of particular attention will be the Fed's Summary of Economic Projections (SEP), which may indicate how aggressive the U.S. central bank will be in cutting rates in 2025.
The S&P 500 lost 23.47 points, or 0.39%, to end at 6,050.61 points, while the Nasdaq Composite lost 64.83 points, or 0.32%, to 20,109.06.
The Dow Jones Industrial Average fell 267.58 points, or 0.61%, to 43,449.9.
While the Nasdaq hit a record high on Monday (December 16) and the S&P 500 is up nearly 27% on the year, the Dow has struggled recently and suffered its ninth straight daily decline, its longest losing streak since February 1978.
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