US stocks open lower on Fed rate hike uncertainties

New York, Sep 28 (IANS) US stocks opened lower on Monday as uncertainties about the timing of an interest rate hike still weighed on investors sentiment.

Shortly after the opening bell, the Dow Jones Industrial Average shed 135.53 points, or 0.83 percent, to 16,179.14, Xinhua news agency reported.

The S&P 500 lost 16.84 points, or 0.87 percent, to 1,914.50. The Nasdaq Composite Index was down 41.71 points, or 0.89 percent, to 4,644.78.

New York Federal Reserve President William Dudley on Monday said the Fed remains on track for a likely rate hike this year.

Traders also kept a close eye on a speech from Chicago Fed President Charles Evans later Monday.

On the economic front, the US Commerce Department on Monday showed that the US personal income in August increased 0.3 percent and personal consumption expenditures went up 0.4 percent.

Analysts said the better-than-expected increase in consumer spending in August added to the case for an interest rate hike this year.

The US stocks pared early gains to finish mixed Friday, as the second revision of the US gross domestic product (GDP) data for the second quarter.

The US real GDP increased at an annual rate of 3.9 percent in the second quarter of 2015, according to the “third” estimate released by the US Commerce Department on Friday.

The revised-up GDP data was mainly boosted by stronger consumer spending and construction.

Related Posts

Leave a Reply