Tech Rout Hits Stocks as Treasuries Gain After GDP: Markets Wrap
- Economy grew at softer pace as spending, inflation marked down
- S&P 500, Dow Industrials did not print for more than an hour
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Wall Street traders sent stocks down and bonds up after the latest round of economic data signaled momentum is slowing.
Just 24 hours before the release of the Federal Reserve’s favorite price gauge, a report showed the US grew at softer pace — as both spending and inflation were marked down. Economic cooling could bolster the case for the Fed to start cutting interest rates this year. But that might also imply weaker consumption, and ultimately become a concern for Corporate America.