U.S. stocks came under pressure on Wednesday after a profit warning by FedEx, while investors waited for a decision on interest rates and clues on the future of U.S. monetary policy from the Federal Reserve.
Shares of the package delivery company tumbled 14% and were on course for their sharpest one-day percentage drop since the financial crisis after FedEx blamed U.S.-China trade tensions and a split with Amazon.com Inc for its dismal full-year profit forecast.
The stock was the biggest drag on the S&P 500 and drove a 1.9% drop in shares of rival United Parcel Service Inc.
The Dow Jones Transport Average lost 1.78%, while the broader industrial sector was off 0.7%. The sector was the biggest decliner among eight of the 11 major S&P sectors in the red.
Investors are now waiting for the Fed™s policy statement, due at 2:00 p.m. ET (18:00 GMT), followed by Chair Jerome Powell™s address a half hour later.
The central bank is expected to lower interest rates by a quarter percentage point for the second time in three months, but a deep divide among policymakers has led traders to abandon all bets on a third reduction this year.
At 11:25 a.m. ET, the Dow Jones Industrial Average was down 60.42 points, or 0.22%, at 27,050.38, the S&P 500 was down 8.17 points, or 0.27%, at 2,997.53. The Nasdaq Composite was down 26.96 points, or 0.33%, at 8,159.06.
Source : Reuters
RELATED NEWS
Hong Kong Stocks End Down After Rally
Tuesday, 7 July 2020 15:26 WIBHong Kong stocks finished Tuesday with deep losses following a healthy four-day rally, though mainland Chinese shares extended their latest advances. The Hang Seng Index shed 1.38 percent, or 363.50 points, to 25,975.66. The benchmark Shanghai Composite Index rose 0.37 percent, or 12.46 points, to...
European Markets Fall as Investors Look to Economic Data and U.S. Virus Surge
Tuesday, 7 July 2020 14:55 WIBEuropean markets retreated Tuesday morning as concerns over the threat to economic recovery of new coronavirus cases in the U.S. and weak German data put the brakes on Monday™s rally. The pan-European Stoxx 600 fell 0.7% at the start of trading, banks shedding 1.5% as all sectors and major bourse...
Tokyo Stocks Close Down After Three-Day Winning Streak
Tuesday, 7 July 2020 13:40 WIBTokyo stocks closed lower Tuesday as investors locked in profits after three straight days in positive territory, while they were cautiously assessing the impact of deadly floods and landslides on local economies. The key Nikkei 225 index fell 0.44 percent, or 99.75 points, to 22,614.69 while the b...
Hong Kong Stocks Extend Rally at Open
Tuesday, 7 July 2020 08:54 WIBHong Kong stocks started with more gains Tuesday, having climbed more than six percent over the previous four sessions and following a surge on Wall Street. The Hang Seng Index rose 0.88 percent, or 231.92 points, to 26,571.08. The benchmark Shanghai Composite Index jumped 1.44 percent, or 48.07 p...
Tokyo Stocks Open Lower After Three-Day Winning Streak
Tuesday, 7 July 2020 07:49 WIBTokyo stocks opened lower on Tuesday after three straight days in positive territory as investors cashed in on recent gains but lacked fresh buying incentives. The key Nikkei 225 index fell 73.22 points, or 0.32 percent, to 22,641.22 in early trade while the broader Topix index was down 4.90 points...
Gold futures finish higher, near 1-week high
Gold Rises Back Near $1,800 as U.S. Dollar Softens to Start July's First Full Week
Gold Ticks Up on Concerns Over Increase in Virus Cases
Tokyo Shares Open The Week on Positive Note
Britain Poised to Ban China's Huawei
Hong Kong Stocks End Down After Rally
Tuesday, 7 July 2020 15:26 WIB
Hong Kong stocks finished Tuesday with deep losses following a healthy four-day rally, though mainland Chinese shares extended their latest advances.
The Hang Seng Index shed 1.38 percent, or 363.50 points, to 25,975.66.
The benchmark Shanghai...