Stocks Drop as Fed Hints at End of Stimulus
NEW YORK (TheStreet) -- U.S. stocks fell Wednesday, continuing a modest pullback, amid speculation the Federal Reserve may finally begin winding down its contentious yet arguably successful $85 billion a month bond-purchasing program as early as next month.
Investors exhibited caution on Wednesday following declarations a day earlier from Chicago Fed President Charles Evans, one of the most aggressive supporters of the Fed's massive stimulus program, and Atlanta Fed Bank President Dennis Lockhart, that the central bank could begin tapering its bond-buying program as early as September, though this wasn't set it stone. Both were quick to add that job growth numbers would be watched closely to determine whether a pullback would be in order.
Investor sentiment was further eroded when IBM
IBM was fell 0.8% to $188.56 a day after the shares were downgraded by Credit Suisse.
Written by Leon Lazaroff in New York
>To contact the writer of this article, click here: LeonLazaroff.>.