All three indexes ended the day lower, with the Dow Jones Industrial Average shedding almost 300 points.
Shares of PacWest dropped 50% as confidence continued to waver in the US banking sector. Meanwhile, Western Alliance stock dropped nearly 40% the lender denied a recent report that executives are exploring a possible sale. The drop in stocks extended yesterday's losses after the Federal Reserve hiked rates for a 10th time, adding to fears that the economy could be headed for a recession.
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Stock market today: World shares mixed before Fed decisionEuropean shares opened higher Wednesday following losses in Asia ahead of a decision on interest rates by the Federal Reserve.
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