Wall Street indexes fell as investors awaited Fed Chair Powell’s speech at the Jackson Hole Symposium, fearing potential hawkish comments. Traders have reduced bets on a September interest rate cut to 79%. Trading volumes were thin in August, magnifying market reactions to Powell’s speech. The Dow, S&P 500, and Nasdaq all closed lower.

A private report showed an increase in business activity, adding complexity for the Fed’s rate decision next month. Yields on Treasuries rose, pressuring stocks. Nine of 11 S&P 500 sectors declined, with consumer staples leading after Walmart’s mixed earnings report. Retailers like Target and Home Depot are closely watched for tariff impact.

Tech stock selloff concerns persisted with Nvidia, Meta, Amazon, and AMD remaining weak. Investor fears of overvaluation and government interference in the tech sector are high. Coty shares plummeted after forecasting lower sales. Declining issues outnumbered advancers on the NYSE.

Fed policymakers have voiced caution, emphasizing data dependence. Market moves will be closely watched post-Powell’s speech. Investors are cautious about the economy’s outlook and consumer spending amid tariff concerns. The NYSE saw new highs and lows, while the S&P 500 and Nasdaq had mixed results.

Read more at Yahoo Finance: Wall Street closes down as investors brace for Powell’s speech