Lola Evans
31 Jan 2023, 07:12 GMT+10
NEW YORK, New York - U.S. stocks closed sharply lower Monday as investors fretted over which way the Federal Reserve will jump when its Open Market Committee meets this week for its monthly two-day meeting.
"You're seeing this push and pull in stock prices between whether the Fed will keep interest rates where they are throughout the year or whether they'll pivot to cutting interest rates. That's what you're seeing in terms of maybe a little bit more of the intermediate-term rise in stock prices," Tom Hainlin, senior investment strategist at U.S. Bank, told CNBC Monday.
"We would fade that rally because our perspective is the Fed is going to keep interest rates high for some time," Hainlin said.
At the close of trading Monday, the Nasdaq Composite was down 227.90 points or 1.96 percent at 11,393.81.
The Standard and Poor's 500 dropped 52.79 points or 1.30 percent to 4,017.77.
The Dow Jones industrials declined 260.99 points or 0.77 percent to 33,717.09.
Unsurprisingly, the U.S. dollar traded higher Monday. The euro drifted down to 1.0847 by the U.S. close Monday. The British pound softened to 1.2349. The Japanese yen slid to 130.46. The Swiss franc eased to 0.9215.
The Canadian dollar edged down to 1.3385. The Australian dollar weakened to 0.7059. The New Zealand dollar dipped to 0.6469.
On overseas equity markets, the big mover was Hong Kong's Hang Seng, which shed 619.17 points or 2.73 percent to close Monday at 22,069.73.
The FTSE 100 in London advanced 0.25 percent. The German Dax retreated 0.16 percent. In Paris, France, the CAC 40 lost 0.21 percent.
Japan's Nikkei 225 rose 0.19 percent. China's Shanghai Composite edged up 0.14 percent.
In Seoul, South Korea, the Kospi Composite declined 1.35 percent. The Australian All Ordinaries dipped 0.12 percent. The Singapore Straits Times Index dropped 0.47 percebt.
In Indonesia, the Jakarta Composite fell 0.38 percent. New Zealand's S&P/NZX 50 inched down 0.02 percent.
Get a daily dose of Arizona Herald news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Arizona Herald.
More InformationSEATTLE, Washington: As part of Washington's efforts to stop Big Tech from monopolizing the most lucrative parts of the internet, ...
JEDDAH, Saudi Arabia: As part of Riyadh's efforts to further Saudi Arabia's electrification drive, electric vehicle (EV) maker Lucid announced ...
NEW YORK, New York - Stock prices were punctured Friday bringing to an end the 'flash in the pan' rally ...
WASHINGTON D.C. Due to internal brake fluid leaks that can cause an electrical short and could lead to engine fires, ...
WASHINGTON D.C. As part of its efforts to remove goods made by Uyghur forced labor from the U.S. supply chain, ...
LONDON, UK: In August, global production of primary aluminum hit an all-time high, with production running at an annualized rate ...
SACRAMENTO, California: Intending to raise some US$160 million per year to help prevent gun violence, California Governor Gavin Newsom signed ...
WASHINGTON D.C. Due to internal brake fluid leaks that can cause an electrical short and could lead to engine fires, ...
(Photo credit: Brad Penner-USA TODAY Sports) Two heavy rain storms in the New York area will force the Mets to ...
(Photo credit: Charles LeClaire-USA TODAY Sports) Sleep? The Miami Marlins don't need no stinking sleep. They overcame nearly an all-nighter ...
(Photo credit: Steven Bisig-USA TODAY Sports) J.P. Crawford hit a grand slam and Ty France and Josh Rojas added solo ...
(Photo credit: Rick Scuteri-USA TODAY Sports) Jose Abreu smacked a two-run double and fill-in starter Jose Urquidy pitched six scoreless ...