NEW YORK: Wall Street stocks edged down Tuesday after a positive start to the week, as traders weigh lingering concerns over the Federal Reserve’s future policy direction.
The Dow Jones Industrial Average fell 0.3 percent to 32,799.13 while the broad-based S&P 500 lost 0.2 percent to 3,974.78.
The tech-heavy Nasdaq Composite Index ticked down 0.1 percent to 11,453.64.
“You’re always going to find new money coming into the market at the end of the month. The money needs to be allocated,” said Quincy Krosby of LPL Financial.
Wall Street edges higher after last week’s rout
“But that said, there is still an underpinning of concern of what the Fed is going to do,” she said, adding the market is concerned over potential steeper interest rate hikes.
While the US central bank has tempered its aggressive pace of hikes to counter inflation, policymakers are still looking for more definitive evidence that the world’s biggest economy is cooling.
The gloomier start to the day comes as retailer Target topped fourth quarter expectations but issued “below-consensus guidance for its fiscal first quarter and full year,” said Patrick O’Hare of Briefing.com.
Target shares rose two percent on Tuesday morning.
Meanwhile shares of Zoom, which issued better results and guidance than anticipated, picked up around one percent as well.
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