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US Market falls on hawkish Fed officials

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Capital Market
Last Updated : Nov 18 2022 | 9:31 AM IST
The US stock market finished volatile session in the red on Thursday, 17 November 2022, as hawkish comments from Federal Reserve officials reignited worry about more aggressive interest rate hikes.

At the close of trade, the Dow Jones Industrial Average index was down 7.51 points, or 0.02%, to 33,546.32 The S&P500 index fell 12.23 points, or 0.3%, to 3,946.56. The tech-heavy Nasdaq Composite Index decreased 38.70 points, or 0.35%, to 11,144.96.

Total 8 of 11 sectors of S&P500 index traded lower, with utilities (down 1.8%), consumer discretionary (down 1.3%), and materials (down 1%) sectors being notable losers.

In remarks at an event hosted by Greater Louisville Inc., St. Louis Fed President James Bullard suggested the central bank's aggressive interest rate hikes have had only limited effects on observed inflation. Bullard said the Fed will need to continue increasing interest rates to reach a level that could be considered sufficiently restrictive. He suggested that the appropriate zone for the federal funds rate could be in the 5% to 7% range, which is higher than what the market is pricing.

Cisco Systems shares rose 5% after the company raised its full-year revenue and profit forecast with supply chain hurdles easing.

Shares of Macy's surged 15% after the department store chain raised its annual profit forecast on resilient demand for high-end clothes and beauty products.

Among Indian ADR, INFOSYS was down 1.07% at $19.48, HDFC Bank fell 0.6% to $67.97, ICICI Bank fell 0.04% to $22.75, WNS Holdings shed 0.2% to $82.52, Tata Motors fell 1.04% to $25.58, Azure Power Global shed 1.37% to $5.75, and Wipro was down 0.8% to $4.94. Dr Reddy's Labs sank 0.78% to $54.62.

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First Published: Nov 18 2022 | 9:11 AM IST

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