U.S. stock markets experienced a significant decline on Tuesday, with all three major indexes ending the day in negative territory. The Dow Jones Industrial Average dropped 1.5%, the Nasdaq Composite fell 2.1%, and the S&P 500 tanked 1.6%. This negative trend continued for the entire month, with all three indexes finishing in the red.
The tech-heavy Nasdaq Composite was particularly impacted by the weak performance of U.S. corporate giants, with GE HealthCare Technologies Inc. being the major loser of the day, seeing a 14.3% decrease in stock price. The S&P 500 also saw all 11 sectors finishing in negative territory, with sectors like Energy, Technology, and Consumer Discretionary experiencing significant declines.
Investors are eagerly awaiting the outcome of the Federal Reserve’s FOMC meeting, with expectations that the Fed fund rate will remain unchanged. They will be paying close attention to Fed Chairman Jerome Powell’s post-meeting statement for any hints on the future of interest rates. Economic data released showed an increase in the employment cost index, while consumer confidence and home prices saw mixed results.
April proved to be a disappointing month for Wall Street, with sticky inflation, a resilient labor market, and a decline in GDP growth rate affecting market confidence. The Dow, S&P 500, and Nasdaq Composite all saw negative returns for the month, ending a five-month winning streak. Investors will be looking for guidance on the market’s direction in the coming days.