US Market ends lower ahead of Fed meeting

The US stocks dived on Monday, 30 January 2023, with the Dow, the S&P500, and the Nasdaq Composite indexes settling into negative territory, as traders opted to book recent profits amid caution ahead of slew of corporate earnings updates and upcoming interest rate decision by the US Federal Reserve's, Bank of England and European Central Bank later this week in an effort to bring inflation down from a multi-year high.

At the close of trade, the Dow Jones Industrial Average index declined 260.99 points, or 0.77%, to 33,717.09. The S&P500 index was down 52.79 points, or 1.3%, to 4,017.77. The tech-heavy Nasdaq Composite Index decreased by 227.90 points, or 1.96%, to 11,393.81.

 

Total 10 of 11 sectors ended lower along with the S&P500 Index. Energy was worst performing sector, falling 2.3% followed by information technology (down 1.94%), communication services (down 1.8%), and consumer discretionary (down 1.7%).

The Federal Open Market Committee meets on Tuesday and Wednesday, when the Fed is expected to hike rates by one-quarter of a percentage point. Investors will be looking for clues about how much higher the central bank will take rates in the fight against inflation.

Shares of information technology and communication services were lower, with Meta Platforms and Alphabet falling 3% and 2.5% , respectively. Advanced Micro Devices fell 3.9%.

Ford shares declined nearly 2.9% after the automaker said it's cutting prices and ramping up production on its electric Mustang Mach-E crossover, following a similar announcement from Tesla.

Among Indian ADR, ICICI Bank inclined 0.65% to $20.24, INFOSYS was up 0.16% at $18.69, WNS Holdings declined 0.9% to $84.61, HDFC Bank was up 0.35% at $66, and Wipro added 0.61% to $4.93. Azure Power Global sank 5.75% to $4.10 and Dr Reddy's labs added 0.34% to $53.52.

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