US: Dow falls 1.3% to break streak of records
Add BT as a preferred source
DeeperDive is a beta AI feature. Refer to full articles for the facts.
WALL Street stocks tumbled on Wednesday (Dec 20), halting a weeks-long rally as markets weighed disappointing FedEx results against better-than-expected consumer confidence data.
Shares of FedEx sank around 12 per cent as the transport company lowered its fiscal 2024 sales forecast, suggesting weakening demand.
That was countered by a Conference Board survey showing an unexpected surge in consumer confidence in December.
The Dow Jones Industrial Average snapped a five-day streak of record closes to finish at 37,082.00, down 1.3 per cent or around 475 points.
The broad-based S&P 500 dropped 1.5 per cent to 4,698.35, while the tech-rich Nasdaq Composite Index shed 1.5 per cent as well to 14,777.94.
US stocks have driven higher since late October, following a nearly unbroken path as inflation moderated and the Federal Reserve signalled plans for 2024 interest rate cuts.
Navigate Asia in
a new global order
Get the insights delivered to your inbox.
“Today’s pullback should be viewed as just a pause from what I would say was an extended price action,” said Angelo Kourkafas of Edward Jones.
“This is a breather in the markets. With eight weeks of gains, we’re getting a little extended,” he said.
Among individual companies, General Mills shares dropped 3.6 per cent as the food giant warned of a “slower volume recovery” in fiscal 2024, “reflecting a more cautious consumer economic outlook”. AFP
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
