[Asia Economy New York=Special Correspondent Baek Jong-min] The major indices of the New York stock market ended mixed after cautious observation of the Federal Open Market Committee (FOMC). Automobile-related stocks were significantly shaken amid Volkswagen's offensive.
On the 16th (local time), the Dow Jones Industrial Average fell 127.51 points (0.39%) to 32,825.95, the S&P 500 index dropped 6.23 points (0.16%) to 3,962.71, and the Nasdaq index rose 11.86 points (0.09%) to close at 13,471.57.
As the Federal Reserve (Fed) began its two-day FOMC meeting on this day, confusion seems inevitable until the meeting concludes tomorrow.
A press conference by Fed Chair Jerome Powell is also scheduled after the FOMC meeting. Depending on the Fed’s diagnosis and measures regarding the recent rise in Treasury yields and inflation concerns, interest rates and stock prices could experience significant volatility.
There could also be considerable market impact if the Fed revises its economic and interest rate outlooks. Investors are also focused on whether the Fed will extend the capital regulation relief benefits previously provided to banks.
By individual stocks, Apple supported the market with a 1.27% rise, but automobile companies’ stock prices fluctuated sharply.
Electric vehicle maker Tesla fell 4.3%. Ford Motor also plunged 5%. On the other hand, Volkswagen surged 10%, which is interpreted as a reaction to Volkswagen’s aggressive electric vehicle strategy announced the day before.
General Motors also declined 1.4%.
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