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The Dow Jones Industrial Average on Wednesday extended its losing streak to its 10th consecutive day, closing with a 1,123 point drop from when it opened and marking its longest losing streak since an 11-day slump in 1974.
The Dow’s dramatic 2.6% loss comes after the Federal Reserve on Wednesday predicted that there would be just two interest rate cuts in 2025, instead of the four it previously projected, according to CNN. It also expects inflation will remain above its target range for longer than anticipated.
The Dow was not the only market impacted by the Federal Reserve’s announcement. The S&P 500 closed with a loss of about 3%, and the Nasdaq declined by approximately 3.6% on Wednesday. Before the announcement, the two indexes were at or near record highs.
The losing streak comes after the 2024 presidential election caused a surge in the markets when President-elect Donald Trump was elected back to the White House. Despite the loss, the Dow is still closing at 14% higher than last year.
A drop in UnitedHealth Group stocks has been among the most significant losses in the Dow so far. The company’s stock has lost 15% of its value so far this month, which was largely triggered by the fatal shooting of UnitedHealthcare CEO Brian Thompson on Dec. 4.
The healthcare group saw a rise in its stocks on Wednesday of 3.3%.
Misty Severi is an evening news reporter for Just The News. You can follow her on X for more coverage.