NEW YORK: Wall Street stocks fell on Tuesday following disappointing US consumer data and measured comments from the Federal Reserve chief on the likelihood of an interest rate cut.
The tech-rich Nasdaq Composite Index led the market lower, shedding 120.98 points to settle at 7,884.72. Powell's speech in New York amplified the central bank's recent message that policymakers are ready to step in to protect the world's largest economy amid heightened worries that US trade conflicts are crimping growth.But Powell warned that the central bank would not"overreact" to individual data points and short-term swings in sentiment that could quickly evaporate.
Ongoing US trade conflicts also weighed on the Conference Board's estimate of consumer confidence, which sank to a 21-month low.