Markets come down from China stimulus highs, closing lower but strong

Brooke Seipel
Updated
S&P 500 screenshot

The initial optimism off China's stimulus announcement has faded in the U.S. with markets closing lower Wednesday and eyes returning to the Fed and labor markets.

  • S&P 500 Futures: 5,774.25 ⬇️ down 0.31%

  • S&P 500: 5,719.17 ⬇️ down 0.24%

  • Nasdaq Composite: 18,082.21 ⬆️ up 0.043%

  • Dow Jones Industrial Average: 41,918.24 ⬇️ down 0.69%

  • FTSE 100: 8,268.70 ⬇️ down 0.17%

  • Nikkei 225: 37,870.26 ⬇️ down 0.19%

  • SSE Composite Index 2,896.31 ⬆️ up 1.16%

  • Bitcoin: $63,239.20 ⬇️ down 1.59%

The Dow and S&P 500 hit new highs, then simmer down
On Wednesday, the Dow and S&P 500 closed lower, cooling off from highs off China's stimulus news and initial Fed rate optimism. The S&P 500 was down 0.31% while the Dow was down 0.69%. The tech-heavy Nasdaq had a mixed day, closing up, just barely, by 0.043%. The simmering comes after a report that consumer confidence is down. Investors are waiting to see what Federal Reserve chair Jerome Powell will say in a Thursday speech.

U.S. futures down a touch
Nasdaq futures closed up, but Dow and S&P ended slightly lower.

China: Stimulus momentum continues—but fades
The rally in Chinese stocks sparked by Tuesday's announcement from China's central bank of a wide-ranging stimulus package faded as investors began to doubt that the measures would be sufficient to revive the world's second-largest economy. The Shanghai index pulled out a 1.16% gain Wednesday. Hong Kong's Hang Seng index rose 0.68%

Japan: China reality sets in
The Nikkei 225 dropped 0.19%, reflecting the fading optimism over Beijing's stimulus package.

Europe: Attention turns to SAP, Commerzbank
European stocks slid on Wednesday, ending lower as investors turned their attention to UniCredit's coy pursuit of a merger with Germany's Commerzbank—and German politicians' claims that the takeover of the country's second-largest lender would be a bad thing. German software giant SAP also suffered, dropping 3.5% on revelations that the U.S. is investigating it over price fixing. The STOXX Europe 600 was off 0.13% in early trading.

This story was originally featured on Fortune.com

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