BUSINESS Dow drops over 400 points shortly after opening

BUSINESS

Dow drops over 400 points shortly after opening

Xinhua

22:30, June 18, 2021

NEW YORK, June 18 (Xinhua) -- U.S. stocks fell noticeably on Friday morning, amid overall weakness in the financials and energy sectors.

A woman passes an entrance of the New York Stock Exchange, Wednesday, June 16, 2021. (Photo: AP)

Shortly after the opening bell, the Dow Jones Industrial Average dropped 402.52 points, or 1.19 percent, to 33,420.93. The S&P 500 dipped 35.75 points, or 0.85 percent, to 4,186.11. The Nasdaq Composite Index decreased 65.11 points, or 0.46 percent, to 14,096.24.

All the 11 primary S&P 500 sectors pulled back in morning trading, with financials and energy both down more than 1.6 percent, leading the losses.

U.S. equities have been under pressure especially after the hawkish signals from the Federal Reserve.

The U.S. central bank on Wednesday kept its benchmark interest rates unchanged at the record-low level of near zero, while seeing possible rate hikes in 2023.

Moreover, median forecast among Fed officials calls for a 3.4-percent inflation by end of this year, 1 percentage point up from the March projection.

As of Thursday's close, the Dow slid 1.9 percent for its week to date, the S&P 500 lost 0.6 percent, while the Nasdaq rose 0.7 percent.

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