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Stocks slid on Tuesday as traders assessed the latest Federal Reserve meeting minutes, where officials gave no indication of interest rate cuts.
The Dow Jones Industrials finished lower 63.74 points to end Tuesday at 35,074.30.
The S&P 500 dropped 9.19 points to 4,538.19.
The NASDAQ sank 84.55 points to 14,199.98.
Both the broad-market benchmark and the tech-heavy NASDAQ snapped a string of five consecutive winning days.
The Fed indicated that policy will need to remain “restrictive” amid concerns that inflation could be stubborn or tick higher. Policymakers left the benchmark rate at 5.25% to 5.5% during their Oct. 31-Nov. 1 meeting.
As rates remain “higher for longer,” housing data shows last month was difficult for prospective homebuyers. Existing home sales in October came in at 3.79 million units, versus estimates of 3.9 million, according to the National Association of Realtors. This marked the slowest sales pace since August 2010, and a 14.6% fall from the prior year.
Lowe’s declined 3.1% after reducing its full-year sales outlook. Clothing retailer American Eagle tumbled nearly 16% after weaker-than-expected operating income guidance for the full year.
Meanwhile, e-commerce giant Amazon shed 1.5% amid reports former CEO Jeff Bezos may be selling more shares, after offloading 1.67 million shares last week.
Traders will also turn to earnings from Nvidia and HP. Nvidia shares hit an all-time high on Monday, but dipped 0.9% on Tuesday.
Traders are hoping to glean some insight into policymakers’ rate decision after the central bank left its benchmark rate at 5.25%-5.5%, and learn what it might take for them to change tack going forward. Fed funds futures pricing suggests near unanimity that the Federal Open
Market Committee will hold steady at its upcoming December meeting.
Prices for the 10-year Treasury advanced, lowering yields to 4.41% from Monday’s 4.42%. Treasury prices and yields move in opposite directions.
Oil prices were unchanged to $77.83 U.S. a barrel.
Gold prices regained $20.30 to $2,000.60.
