U.S. stocks open modestly lower, on pace for fifth day of losses as economic growth worries linger

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Modestly lower open puts U.S. stocks on track for fifth straight daily decline

U.S. stock indexes opened lower on Wednesday morning, struggling to recover ground after a four-day losing streak amid worries about the chances of an economic downturn in coming months.

“The recent run of macro data points in the U.S. continues to underscore relatively solid economic trends. And combined with the recent easing in financial conditions, it may trigger a need for the Fed to push back in December. Put another way, the dove camp is feeling some pain,” said Stephen Innes, managing partner at SPI Asset Management.

The Fed’s monetary tightening alongside stubborn inflation may deliver a marked economic slowdown, senior bankers such as JPMorgan’s Jamie Dimon and Goldman Sachs’s David Solomon warned this week. China on Wednesday announced a series of measures rolling back some of its most draconian anti-COVID-19 restrictions. People who test positive for the virus will be able to isolate at home rather than in overcrowded and unsanitary field hospitals, and schools where there have been no outbreaks must return to in-class teaching, according to the National Health Commission.

 

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