S&P 500 hits 14-month low on economic jitters ahead of Fed meeting
By April Joyner NEW YORK (Reuters) - Wall Street's major indexes all slid more than 2 percent on Monday, with the benchmark S&P 500 closing at its lowest level in 14 months, on concerns of slowing economic growth ahead of a highly-anticipated decision from the Federal Reserve this week on the course of interest-rate hikes. The S&P 500 hit its lowest level since October 2017 to breach lows reached during its sell-off in February. The small-cap Russell 2000 index confirmed a bear market, having fallen more than 20 percent from its Aug.
By April Joyner
NEW YORK (Reuters) - Wall Street's major indexes all slid more than 2 percent on Monday, with the benchmark S&P 500 closing at its lowest level in 14 months, on concerns of slowing economic growth ahead of a highly-anticipated decision from the Federal Reserve this week on the course of interest-rate hikes.
The S&P 500 hit its lowest level since October 2017 to breach lows reached during its sell-off in February. The small-cap Russell 2000 index <.RUT> confirmed a bear market, having fallen more than 20 percent from its Aug. 31 closing high.
A profit warning from British retailer ASOS
The S&P 500 briefly erased its losses in late morning trade, but the index resumed its steep decline after Jeffrey Gundlach, chief executive of DoubleLine Capital, said that U.S. stocks were in a bear market.
Concerns about flagging consumer sentiment pushed down S&P 500 consumer discretionary stocks, which tumbled 2.8 percent. Shares of Amazon.com Inc
Investors said market skittishness was likely to persist heading into the Federal Open Market Committee meeting on Tuesday and Wednesday.
An indication that the Fed would slow its pace of interest-rate hikes could calm markets, but the central bank's intentions remain unclear, said Ryan Detrick, senior market strategist at LPL Financial in Charlotte, North Carolina.
"We're all holding our breath for the Fed," Detrick said. "If the Fed takes its foot off the pedal for the first half of next year, that would get rid of one uncertainty."
The Dow Jones Industrial Average <.DJI> fell 507.53 points, or 2.11 percent, to 23,592.98, the S&P 500 <.SPX> lost 54.01 points, or 2.08 percent, to 2,545.94 and the Nasdaq Composite <.IXIC> dropped 156.93 points, or 2.27 percent, to 6,753.73.
The Cboe Volatility Index <.VIX>, the most widely followed gauge of expected near-term gyrations for the S&P 500, finished up 2.89 points at 24.52, its highest close in seven weeks.
Shares of insurer UnitedHealth Group Inc
Johnson & Johnson
Shares of Goldman Sachs Group Inc
Declining issues outnumbered advancers on the NYSE by a 5.55-to-1 ratio; on Nasdaq, a 4.31-to-1 ratio favoured decliners.
The S&P 500 posted one new 52-week high and 116 new lows; the Nasdaq Composite recorded 10 new highs and 556 new lows.
Volume on U.S. exchanges was 9.44 billion shares, compared to the 8.01 billion average over the last 20 trading days.
(Reporting by April Joyner; additional reporting by Saqib Iqbal Ahmed in New York and Amy Caren Daniel in Bengaluru; Editing by Bill Berkrot)
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By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States
BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.