US stocks closed slightly lower on Thursday, driven by concerns over the latest round of economic data and the Federal Reserve’s policy statement. Despite a rally in the S&P 500 on Wednesday after the Fed kept interest rates unchanged, selling pressure has intensified due to a string of economic indicators signaling cooling consumer sentiment.
The Dow Jones Industrial Average fell 11.31 points, or 0.03%, to 41,953.32, while the S&P 500 lost 12.40 points, or 0.22%, to 5,662.89. The Nasdaq Composite dropped 59.16 points, or 0.33%, to 17,691.63.
The Fed’s policy statement revealed slower economic growth and at least temporarily higher inflation, which has raised concerns among investors. “It’s very volatile,” said Stephen Massocca, senior vice president at Wedbush Securities. “We’re putting a bottom in here, but I don’t have a lot of hope that we’re going to suddenly leap out of this.”
The US economy saw an increase in weekly initial jobless claims, but the outlook may be dimming due to government spending cuts and policy uncertainty. The Conference Board reported a measure of future economic activity fell 0.3% in February.
Despite the downturn, some stocks have shown resilience. Darden Restaurants shares jumped 5.77% after the Olive Garden owner gave a positive outlook regarding the impact of tariffs on its business. Accenture shares tumbled 7.26%, however, due to delays and cancellations of new contracts caused by the Trump administration’s efforts to reduce federal spending.
Overall, investors are cautiously watching for developments in the economic data and Fed policy statement, which may impact the market outlook.
Source: https://www.reuters.com/markets/us/futures-tick-up-after-fed-holds-rates-steady-2025-03-20