Share

US stocks tank as Fed trims stimulus again

New York - US stocks fell sharply on Wednesday, with losses deepening after the US Federal Reserve trimmed its monetary stimulus for the second month in a row.

At the closing bell, the Dow Jones Industrial Average slumped 183.03 points (1.15%) to 15,745.53.

The broad-based S&P 500 fell 18.18 (1.01%) to 1,774.32, while the tech-rich Nasdaq Composite Index declined 46.53 (1.14%) to 4,051.43.

US stocks were in negative territory all day, but those losses increased after the Fed announced, two hours before the markets closed, that it will reduce asset purchases by another $10bn in February to $65bn, a decision that was widely expected.

"People are edgy," said Peter Cardillo, chief market economist at Rockwell Global Capital.

Cardillo said investors were anxious primarily because of the uncertain outlook on emerging-market economies. He said the Fed's move, as well as a mixed bag of earnings reports, were smaller factors in the sell-off.

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.94
-0.2%
Rand - Pound
23.92
-0.1%
Rand - Euro
20.47
+0.0%
Rand - Aus dollar
12.36
-0.1%
Rand - Yen
0.13
-0.3%
Platinum
911.60
+1.6%
Palladium
1,012.97
+1.1%
Gold
2,213.47
+0.9%
Silver
24.80
+0.6%
Brent Crude
86.09
-0.2%
Top 40
68,346
+1.0%
All Share
74,536
+0.9%
Resource 10
57,251
+2.9%
Industrial 25
103,936
+0.6%
Financial 15
16,502
-0.1%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders