From Nasdaq:

Stock indexes in the U.S. continued to decline during the second trading session of the year, with the S&P 500 ending the day with its worst two-day result since late-October. Traders appeared to be frustrated with the perceived lack of transparency from the Federal Reserve and worried about the potential impact of overly restrictive monetary policies on the economy.

The decline came on the heels of a strong finish to 2023 for all three major Wall Street benchmarks, with the S&P 500 reaching close to its all-time closing high. However, investors have remained cautious in 2024 amid concerns about the U.S. central bank’s expected pivot to rate cuts and the pace at which these may occur.

Share of rate-sensitive megacap stocks, including Nvidia, Apple, and Tesla, fell as investors mulled over the Fed’s minutes and potential rate cuts. The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all ended the day in negative territory, while airline stocks came under pressure due to higher fuel costs prompted by disruptions at Libya’s top oilfield.

However, higher crude prices pushed the energy index higher, while financials traded lower, with stocks such as Charles Schwab and Blackstone pulling down the sector. Citigroup, on the other hand, gained for a second straight day.

Total volume on U.S. exchanges reached 11.84 billion shares, suggesting that profit-taking from 2023’s gains and recalibrations for the new year were likely influencing traders’ thinking.



Read more: US STOCKS-Wall St notches second lower finish as 2024 starts with profit-taking