NEW YORK(TIP): Stocks tumbled Wednesday, December19, as investors fretted over a growing list of concerns, including slowing economic growth, trade policy and the threat of a U.S. government shutdown.
The Dow lost 464 points, or 2 percent, to close at 22,860, the first time the blue-chip index has closed below 23,000 points since October of 2017. The Dow has lost nearly 1,700 points, or 7 percent, over the last six trading sessions.
The selling in the last two days came after the Federal Reserve raised interest rates for the fourth time this year and signaled it was likely to continue raising rates next year, although at a slower rate than it previously forecast.
Markets are also concerned about the ongoing trade dispute between the U.S. and China, which has lasted most of this year and shows few signs of easing, and forecasts for a dip in economic activity next year.
The broader S&P 500 closed at a 15-month low, while Nasdaq also lost ground – the tech-heavy index is now down 20 percent from its peak in August.