Dow Jones posts longest losing streak since April as Wall Street rally pauses – CNBC TV18

The Dow Jones fell for the sixth day in a row on Thursday after benchmark indices on Wall Street took a pause ahead of the US Fed policy next week and some hotter-than-expected macro data.

The Dow Jones fell close to 250 points yet again, the Nasdaq Composite fell 0.7% after scaling 20,000 on Wednesday, while the S&P 500 shed 0.5%.

The S&P 500 gauge posted its ninth consecutive day where the number of constituents falling outnumbers those rising. That’s the longest such streak since Bloomberg started collecting the data in 2004.

Broadcom shares surged 13% in extended trading after stronger-than-expected guidance and AI revenue surging 220% for the year. Adobe fell 13%, the most in two years after weak results.

Data showed initial jobless claims rose to 242,000 for the week ended Dec. 7, ahead of economists’ estimates for 220,000. November producer price readings released at the same time were mixed, with US wholesale inflation accelerating in November due to a surge in egg prices. Treasuries failed to hold onto an advance after the readouts as investors tried to gauge when the central bank will hit pause on interest-rate cuts.

A Bloomberg gauge of the dollar strengthened 0.3%, advancing for the fifth consecutive session as traders gauged the prospect of a Fed pause in early-2025 while US bonds fell for the fourth day in a row. Treasuries have climbed immediately after readouts this week only to see those gains evaporate. The yield on the 10-year rose to 4.33% Thursday.

Stan Shipley at Evercore ISI expects the benchmark note to end 2025 around 4.6%.

“The uncertainty of the US economic outlook has increased even though the recession odds have vanished,” Shipley wrote. “This is because economic policy details are not clear.”

A third-consecutive rate cut from the US central bank is widely expected next week after the European Central Bank met expectations for a quarter-point of interest-rate easing and the Swiss National Bank made a surprising 50 basis-point rate reduction Thursday.

In commodities, WTI crude contracts pared losses after the International Energy Agency warned of a supply glut in 2025. Gold tumbled as much as 1.6%, the biggest intraday drop in more than two weeks.

(With Inputs From Agencies.)