Wall Street Closes with Losses After Reaching Record Highs

During the session, the main indices of the U.S. market managed to surpass their record levels, with the Dow Jones even reaching over 40,000 points.

The three major Wall Street indices closed Thursday’s trading with losses. After hitting record highs during the session, the averages pulled back in a day marked by comments from Federal Reserve officials.

The Dow Jones Industrial Average, composed of 30 major companies, fell 0.10% to 39,869.38 points after surpassing 40,000 units for the first time. The S&P 500 dropped 0.21% to 5,297.10 points, and the Nasdaq declined 0.26% to 16,698.32 points.

The focus appears to be on potential actions by the Federal Reserve. At the beginning of the year, there was an expectation of six rate cuts, but this has recently been reduced to two.

According to the CME Group’s FedWatch tool, futures trading suggests a 50% probability of an interest rate cut in September. The expectation of rate cuts has been delayed throughout the year.

Yesterday’s inflation figures in the United States revived bets on an adjustment, showing lower-than-expected pressure. The stock indices reacted with all-time highs but couldn’t maintain them by the close.

Among the standouts, Walmart shares rose by 7%. The company earlier reported its first-quarter results, showing a 205% increase in e-commerce revenues.

In the Dow Jones, aside from Walmart’s significant move, 3M advanced 3.58%, Boeing rose 3.37%, and Intel increased 2.43%. Among the losers were Cisco, down 2.68%, and Caterpillar, down 2.59%.