Home / Business / Decrease 400 points as the Fed feels more stimulus needed, technical slides

Decrease 400 points as the Fed feels more stimulus needed, technical slides



Shares fell Wednesday as central bank officials warned more fiscal stimulus is needed to bail out a struggling US economy.

The Dow Jones Industrial Average was down 428 points, or 1.57%, to 26,859, the S&P 500 was down 1.9% and the Nasdaq by 2.57%. Amazon.com (AMZN) – Get report and alphabet (GOOGL) – Get report it decreased between about 2% and 3%.

Federal Reserve Vice President Richard Clarida, like Fed Chairman Jerome Powell before him, reiterated that the central bank believes that “additional fiscal support is likely to be needed” to lift the US economy out of the coronavirus-related recession.

Powell warned in Congressional testimony Tuesday that a US recovery from the coronavirus pandemic that killed more than 200,000 Americans “continues to be highly uncertain.”

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“The recovery will go faster if there is support from both Congress and the Fed,” Powell said.

Nike (NKE) – Get report was the top gainer on the Dow, up 9.3%, after the apparel and sports equipment giant posted better-than-expected fiscal first-quarter earnings. Nike brand digital sales increased 82% overall in the quarter.




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