US markets closed lower on Tuesday as investors braced for the Federal Reserve’s upcoming interest rate decision amid mixed corporate earnings and steady economic indicators. The Dow Jones Industrial Average fell 0.46%, while the S&P 500 and Nasdaq Composite dropped 0.30% and 0.38%, respectively.
Industrial and consumer discretionary sectors led declines, with real estate and utilities emerging as rare bright spots. Boeing outperformed expectations, but weak reports from Spotify, Merck, and UnitedHealth weighed on sentiment. UPS shares plummeted 10.57% after missing earnings forecasts, while Corning surged nearly 12% on strong results.
Tech giants like Tesla and Apple slipped over 1%, though Alphabet and Broadcom edged higher. All eyes now turn to earnings from Microsoft and Meta, due Wednesday, and Apple and Amazon on Thursday.
The Federal Reserve began its two-day policy meeting, with markets anticipating unchanged rates. June job openings data showed stability at 7.4 million, reflecting cautious labor market momentum. Analysts suggest the Fed’s guidance on inflation and future rate paths will shape Asian market reactions this week.
