US stock market closes lower as data signals steady interest rates
Date
1/8/2025 12:41:36 AM
(MENAFN) US Stocks declined on Tuesday after economic indicators strengthened the belief that interest rate cuts are not imminent.
The Institute for supply Management (ISM) reported its service sector Purchasing Managers index (PMI) rose by two points to 54.1 in December, surpassing market forecasts.
Job openings in the US unexpectedly climbed to a six-month peak of 8.1 million in November. Meanwhile, hires fell by 125,000 to 5.27 million, and job separations, including resignations and layoffs, dropped by 180,000 to 5.1 million during the same period.
Analysts interpreted the Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey (JOLTS) as evidence that the labor market is gradually slowing, but not enough to prompt the Federal Reserve to cut interest rates quickly.
The data, which highlighted the economy’s resilience, added uncertainty to the timeline for the Fed’s rate adjustments.
The Dow Jones Industrial Average slipped 178.2 points, or 0.42 percent, finishing at 42,528.36. The S&P 500 fell 66.35 points, or 1.11 percent, closing at 5,909.03, while the Nasdaq Composite dropped 375.30 points, or 1.89 percent, ending at 19,489.68.
MENAFN08012025000045016755ID1109066367
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.