U.S. stocks slide as Fed cuts interest rates for 3rd straight time, says will 'monitor' economic outlook

U.S. stocks traded lower Wednesday afternoon after the Federal Reserve’s rate-setting committee cut interest rates by a quarter percentage point, as expected. The Dow Jones Industrial Average DJIA, +0.43% was trading flat at 27,057, the S&P 500 index SPX, +0.33% was trading 0.2% lower at 3,031, while the Nasdaq Composite Index COMP, +0.33% declined 0.2% at 8,258. The Federal Open Market Committee cut its benchmark rate by 25 basis points to a 1.5%-1.75% range, from 1.75% to 2%, in an 8-2 vote. The committee said they would act as appropriate to sustain the U.S. economic expansion. Fed Chairman Jerome Powell is slated to hold a news conference at 2:30 p.m. Eastern Time. The FOMC said, it will “continue to monitor the implications of incoming information for the economic outlook as it assesses the appropriate path of the target range for the federal funds rate.” Kansas City Federal Reserve leader Esther George and Boston Fed President Eric Rosengren dissented, voting to keep rates at 1.75% to 2%. Those two members also dissented in last month’s decision.

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