The Dow Jones Industrial Average closed down 0.15% to 33919.84 points and the Standard & Poor’s 500 fell 0.08% to 4,354.19 points.
On the other hand, the Nasdaq Technology Index rose 0.22% to settle at 14,746.40 points.
The US yards managed to open higher, and the previous day’s broad sell-off rebounded due to the threat of Chinese real estate giant Evergrande’s bankruptcy, but they were unable to sustain gains and only Nasdaq managed to hold out. In green, albeit at a lower elevation.
Concerns about Evergrande remain and tomorrow is the day the Federal Reserve announces its monetary policy decisions, so at the end of the day investors chose to take a wiser stance, not wanting to take risks.
Market watchers expect the Fed to keep key interest rates at their current historical lows, around zero, but they don’t know what will be decided on the stimulus program, which includes monthly purchases of the equivalent of $120 billion in commitments.
There is a growing consensus that the US central bank may announce the start of “tapering” – a gradual withdrawal of stimulus – but there are also those who believe that the Fed will delay this slowdown in debt buying, once employment is in the market. Not strong yet and the specter of a permanent rise in inflation is fading.
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