U.S. stock markets experienced significant declines on Tuesday, December 17, 2024, with the Dow Jones Industrial Average marking its ten-day losing streak. This prolonged downturn has been attributed to investors’ growing anxiety over the Federal Reserve’s cautious stance and potential future interest rate cuts. The Dow fell 650 points, approximately 2.1%, closing at 30,415. Similarly, the S&P 500 dropped 75 points, or about 2.2%, ending the day at 3,807, while the Nasdaq Composite saw a decrease of 250 points, or 2.6%, finishing at 9,910. Experts, including senior economist David Kelly, noted that these fluctuations reflect market responses to the Fed’s recent signals suggesting a more measured approach to monetary policy. Kelly commented, ‘The market isn’t just focused on current economic conditions; it’s trying to read the Fed’s intentions. A cautious Fed can send stocks tumbling.’ This sentiment is echoed across Wall Street, as analysts express concerns that the Fed’s expected policy shift could signal an economic slowdown. Additionally, fears of a potential recession loom larger as investor confidence wavers, with many citing uncertainty in consumer spending and corporate earnings as factors that may influence the Fed’s decision-making process. As the Federal Reserve prepares for its upcoming meeting, market participants are closely monitoring statements from officials, searching for clarity that could stabilize the volatile stock landscape.
U.S. Stocks Plummet as Dow Faces Ten-Day Losing Streak Amid Federal Reserve Concerns
