How major U.S. stock market indexes fared on Tuesday

Adjust Comment Print

Traders work on the floor of the New York Stock Exchange June 2, 2017.

USA stocks pared gains to trade little changed on Wednesday as a set of weak economic data weighed on bank stocks, while investors braced for a near-certain interest rate hike by the Federal Reserve. As expected, the Fed lifted interest rates for the second time this year, and in a post-meeting press conference, Fed Chair Janet Yellen said the economy is on the path to achieving the current 2% inflation target.

The Dow Jones Industrial Average slipped 14.66 points (0.07 per cent) to close the day 21,359.90. The Dow Jones Small-Cap Value TSM Index closed at 9,620.03 for a loss of 48.16 points or 0.50%.

The Federal cited continued USA economic growth and job market strength.

The S&P 500 is up 201.52 points, or 9 percent. "Hence, the tech sector is selling off on concerns that today's Fed hike will slow GDP, retarding future tech profit growth".

Mattis: Trump has delegated decisions on Afghan troop levels
Sponsored Content - Download our Executive Briefing to learn how agency and industry experts are hoping to reduce insider threats. The Pentagon had considered a request for roughly 3,000 more troops, mainly for training and advising.


It's the latest depressing data point for active fund managers, who've struggled to reverse a streak of outflows in recent years as investors have eschewed stock-pickers in favor of their passive competitors.

The Fed clearly outlined a plan to reduce its US$4.2-trillion (RM17.89-trillion) portfolio of Treasury bonds and mortgage-backed securities, most of which were purchased in the wake of the 2007-2009 financial crisis and recession. "It seems they should be doing the opposite", said Robert Pavlik, chief market strategist at Boston Private Wealth.

The Dow is up 87.93 points, or 0.4 percent. "Certainly more transparency is a good thing".

The headline rate of CPI dipped by 0.1% in May when compared to the month before, while the annual pace of advance declined from 2.2% in April to 1.9% for May, according to the Bureau of Labor Statistics.

About 7.1 billion shares changed hands in United States exchanges, above the 6.8 billion daily average over the last 20 sessions.

Comments