Stocks fell Tuesday, adding to the previous session's losses, as market participants continued to mull over the impact of the Federal Reserve's upcoming monetary policy decision amid economic warnings from big banks. The Dow Jones Industrial Average dropped over 350 points, while the S&P 500 and Nasdaq Composite fell 1.4% and 2%, respectively.
Here's how the market settled on Tuesday:
S&P 500 Index
Dow Jones Industrial Average
Nasdaq Composite Index
Tuesday's moves added to Monday's declines, with the S&P 500 falling for a fourth straight session. Wall Street's moves also brought the Dow's two-day losses to more than 800 points.
Driving the downturn, some of the biggest Wall Street bank executives issued a downbeat forecast for next year as inflation continues to impact consumer demand. Bank of America
Separately, Goldman Sachs
JPMorgan Chase
On the forefront of market participants' minds is the central bank's upcoming policy decision next week. Policymakers, including Chair Jerome Powell, have signaled in recent weeks that the central bank will enter a new phase of its aggressive tightening campaign, possibly issuing a half-point rate hike at the end of its December 13-14 meeting after four consecutive 0.75 percentage point increases.
However, recent data readings have showed the economy has continued to remain strong despite the Fed's rate hikes and persistent inflation. Last week, the November jobs report showed more-than-expected job gains and robust wage growth, which is the opposite of what the Fed is looking for when it comes to easing its monetary policy moves.