Investors Brace for Fed Decision, Markets Slide - InvestingChannel

Investors Brace for Fed Decision, Markets Slide

Stocks dipped on Tuesday as traders assessed better-than-expected economic data and prepared for another likely rate hike from the Federal Reserve.

The Dow Jones Industrials were 79.75 points to the bad, ending Tuesday at 32,653.20.

The S&P 500 sagged 15.88 points to 3,856.10.

The NASDAQ dropped 97.30 points to 10,890.85.

All the major averages opened higher but turned negative after job openings data for September showed a resilient labour market

Losses were mitigated Tuesday as a better-than-feared earnings season continued with a strong report from Pfizer. Uber shares popped nearly 12% on a revenue beat.

Some traders pointed to optimism from unconfirmed reports that China may pivot from its zero-COVID policy as a source for Tuesday’s early gains.

Tuesday also marks the start of the Fed’s November meeting, which many expect will result in a 75-basis-point interest rate hike. Investors will also monitor the central bank’s statement and Fed Chair Jerome Powell’s press conference for signs of a slowing tightening pace.

Treasury prices inched backward, raising yields to Monday’s 4.05%. Treasury prices and yields move in opposite directions.

Oil prices added $1.77 to $88.30 U.S. a barrel.

Gold prices shot up $9.60 to $1,650.30 U.S. an ounce.

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