S&P, Nasdaq edge lower ahead of Fed decision
INTERNATIONAL – The S&P 500 and the Nasdaq edged lower on Thursday, as weak earnings reports and caution ahead of the Federal Reserve's interest rate decision stalled a rally from the previous session, which was spurred by the outcome for midterm elections.
Among the biggest deliners on the S&P 500 were Perrigo, Wynn Resorts and DR Horton, all falling on disappointing quarterly results.
Qualcomm Inc dropped 7.1 percent after the chipmaker forecast sales revenue for the holiday quarter below analysts' estimates, as it took a hit from the loss of chip sales to Apple.
Technology stocks, that rallied the most on Wednesday, dipped 0.4 percent.
The S&P banking index was up 0.9 percent, with Bank of America rising 1.8 percent and JPMorgan Chase gaining 1 percent ahead of the Fed decision.
Financials were among the few gainers, with the broader market dipping after a 2 percent surge on Wednesday as investors braced for a political gridlock in Washington.
"The market is going to go into a trading range for a while...(yesterday) was relief that there wouldn't be any severe economic changes for the next couple of years," said Bruce Bittles, chief investment strategist at Robert W. Baird & Co in Sarasota, Florida.
"The Fed may give some indication of what they're going to do in December, that might be holding the market back."Reuters