Told You It Wouldn't Last...Stocks Lower At Open

Let’s see what happens when the Fed talks interest rates this afternoon.

AP: Wall Street took some money off the table Wednesday after its huge rally a day earlier, as investors awaited an afternoon decision on interest rates from the Federal Reserve.

The market expects policymakers to lower the fed funds rate by a half point to 1 per cent, though there has been speculation that smaller or wider cuts are possible.

The only certainty is that Wall Street will pore over the Fed’s statement on its decision and its reading of the economy. That assessment, along with any move on rates themselves, could lead the market to retreat, rally or simply shrug off a move that it writes off as expected.

Stocks’ early decline Wednesday was not surprising given the 889-point gain logged by the Dow Jones industrials Tuesday.

…The Dow fell 75.51, or 0.83 per cent, to 8,989.61.

Broader stock indicators also declined. The S&P 500 index fell 9.86, or 1.05 per cent, to 930.65, and the Nasdaq composite index fell 20.46, or 1.24 per cent, to 1,629.01.

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