US Stocks Dip as Fed Meets, Trade Hopes Fade
US stocks closed lower Tuesday as investor sentiment soured amid mixed signals on trade and the start of the Federal Reserve’s policy meeting.
The S&P 500 slipped nearly 0.8%, the Nasdaq 100 lost 0.9%, and the Dow dropped 389 points. President Trump’s wavering stance on trade—saying “we don’t have to sign deals”—contradicted recent optimism from Treasury officials and dampened hopes for tariff relief. Diplomatic tensions also flared after a sharp exchange with Canadian Prime Minister Mark Carney, who said “Canada is not for sale,” prompting Trump to reply, “Never say never.” Markets are widely expecting the Fed to hold rates steady, but Powell’s economic outlook remains in focus.
Tech stocks weakened, with Meta falling 1.8% and Tesla down 1.7% on disappointing European sales. Palantir Technologies sank 12% after delivering results that fell short of investor expectations, while Ford rose 2.4% even after cautioning that tariffs could cut its 2025 earnings by about $2.5 billion.
Source: Trading Economics
