The Dow Jones Industrials bowed 94.45 points at 37,266.67. This marked the third straight day of losses for the 30-stock index
The S&P 500 index sank 26.77 points to 4,739.21.
The NASDAQ dumped 88.72 points to 14,855.62.
Charles Schwab shed 1.3% after reporting mixed quarterly results. Walgreens and Caterpillar both lost 4% and more, leading the Dow’s losses. Meanwhile, Boeing advanced 1.3%, making it one of the biggest gainers in the Dow after weeks of heavy losses.
Retail sales data for December came in stronger-than-expected, indicating a resilient consumer and putting aggressive rate cuts from the Federal Reserve into doubt. Retail sales were up 0.6% from November, and gained 0.4% month-over-month excluding autos. Economists polled by Dow Jones had estimated a 0.4% month-to-month increase in retail sales and 0.2% ex-autos.
So far, traders are pricing in a roughly 60% chance that the Federal Reserve begins cutting rates in March as hopes mount for a pivot.
Prices for the 10-year Treasury slipped, raising yields to 4.10% from Tuesday’s 4.07%. Treasury prices and yields move in opposite directions.
Oil prices changed directions and gained 40 cents to $72.80 U.S. a barrel.
Gold prices dipped $21.40 to $2,008.80.