New York CNN Business —
So much for Wall Street sitting back and taking it easy while awaiting the Federal Reserve’s latest interest rate decision on Wednesday. Stocks slid Tuesday as investors grew anxious about the impact of another big rate hike.
The Dow fell nearly 250 points, or 0.8%, in midday trading. The S&P 500 was also down about 0.8% while the tech-heavy Nasdaq slipped a more modest 0.3%.
There were no earnings reports of note on Tuesday and not much economic data for investors to focus on other than a new housing report, which was mixed. Housing starts for August rose more than 12% from July, but building permits were down 10%.
The housing numbers are unlikely to change the minds of Fed policy makers, who will announce another rate hike on Wednesday. The market is pricing in a nearly 85% chance of a third consecutive three-quarters of a percentage point increase.