Stocks on Wall St. decline ahead of Fed rate decision, mixed data adds uncertainty

From Al Mayadeen:

The stock market on Wall Street saw another week of losses, especially in tech stocks, ahead of the Federal Reserve interest rate decision. The S&P 500 closed down by 0.1%, while the Nasdaq fell 0.7%, and the Dow Jones declined by 0.1% as well. Mixed economic data adds uncertainty to the looming rate decision on March 20.

Thierry Wizman from Macquarie financial group highlighted concerns about inflation and the stock market’s valuation, suggesting a need for higher long-term interest rates. The Federal Reserve is monitoring inflation levels closely, aiming for a Consumer Price Index of 2% or lower before considering rate cuts. However, recent CPI figures show readings above the target at 3.1-3.2%.

As the economic indicators in the US show a mixed trend, with inflation still above the ideal rate, the upcoming Federal Reserve interest rate decision on March 20 remains uncertain. Market analysts and policymakers are closely monitoring the data in anticipation of potential adjustments to interest rates to address economic concerns.



Read more at Al Mayadeen: Wall St. ends red for second week as stocks embrace Fed rate decision