Despite Dow’s nine-day losing streak, we’re not in dire straits

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The Dow Jones falls on the ninth day
On Tuesday, the Dow Jones Industrial Average lost 0.61%, marking a nine-day losing streak. The S&P 500 slipped 0.39% and Nasdaq Composite decreased by 0.32%. Europe regionally Stoxx 600 index decreased by 0.42%weighed down by a 1.4% decline in bank stocks. However, Europe’s technology stocks were able to defy the slump and gain 0.61%.

What to expect from the Fed
The US Federal Reserve concludes its two-day interest rate setting meeting on Wednesday. Despite sticky inflation and a robust labor marketthe Fed is widespread Interest rates are expected to be cut by 25 basis points. But a CNBC poll Out of 27 respondents consisting of economists, strategists and fund managers showed that only 63% believe this is the right move for the Fed.

Nvidia and Broadcom are falling in lockstep
Nvidia Shares fell 1.2% on Tuesday and found their way back deeper in the correction areatypically understood as a drop of 10% (or more) from an all-time high closing price. Broadcoms The rally also lost steam, with shares losing 3.9%.

Car manufacturers, combine
Japanese car manufacturers Nissan engine And Honda engines Are think about a mergeraccording to a Tuesday report from The Nikkei. Both companies also plan to launch Mitsubishi engines – in which Nissan holds 24% and is therefore the main shareholder – ultimately under the holding company. Both Honda and Nissan have neither confirmed nor denied the report.

(PRO) Santa Rally, hurry to the market tonight
The Santa Rally is a phenomenon in which stock prices rise on the last five trading days of the year and the first two in January. As soon as the Fed meeting ends today – and there are no unwelcome surprises – markets will be ready to welcome Santa Claus ring in the holidayssaid Bank of America.

The strongest resistance on the Dow UnitedHealthwhich has contributed to more than half of the index’s decline over the past eight sessions, noted CNBC’s Yun Li. The health insurance company was shaken by one fatal shooting of CEO Brian Thompson as well as a broader sell-off in the industry.

Outside of the Dow, the mood on the stock market continues to be good. Although the S&P and Nasdaq also fell in their latest trading session, both indices are near their record closing prices. This suggests that it is primarily the Dow stocks – “old economy” stocks such as industrials, financials and consumer discretionary – that are coming under pressure.

“Wall Street is waking up to the fact that a Trump presidency may not be as good for stocks as some had hoped,” said David Russell, global head of market strategy at TradeStation. “Financials and industrials benefited from his victory, but now face potentially higher interest rates and trade uncertainty, and healthcare faces its biggest political risks in recent memory.”

Furthermore, the losses for the Dow could be consecutive, but the rise is not that steep. The index is just 3.6% below its record high and its 50-day moving average continues to trend upwards.

Even though it’s not like the stock market is giving investors money for free, we’re still not in complete dire straits.

— CNBC’s Yun Li, Michelle Fox, Fred Imbert, Alex Harring, Adrian van Hauwermeiren, Brian Evans and Samantha Subin contributed to this report.