Stocks Slip as Fed Minutes Await

A man wearing face a mask walks past a bank’s electronic board showing the Hong Kong share index in Hong Kong. Asian stock markets followed Wall Street lower Wednesday after U.S. services activity weakened.


U.S. stocks drifted lower in morning trading on Wednesday and long-term bond yields[1] slid ahead of the release of the Fed minutes. The  Dow Jones Industrial Average[2]  slipped 54 points, or 0.2%, while the  S&P 500[3]  was nearly unchanged, and the  Nasdaq Composite[4]  fell 0.1%.

The 10-year Treasury yield was down 8 basis points, or hundredths of a percentage point, to 1.29%. Investors are waiting on the minutes of the latest Federal Open Market Committee, after Bureau of Labor Statistics data showed that fewer workers quit their jobs in May, and an increase in job openings economists expected failed to materialize. “The narrative and the ‘macro picture’ seem a little less understood – has growth peaked, will inflation wipe out economic gains, has the Fed really got inflation angst?

We get to find out a lot more about that with today’s release of the minutes from the last FOMC meeting,” said Neil Wilson, chief market analyst for And while earnings season is coming up and expectations are high, “we can’t ignore the bond market and equity market concentration in growth stocks – if bonds find more bid and the 10-yr pushes yet lower to 1%, then the stock market can keep gliding higher,” Wilson said in a note to clients. Asian stocks finished mixed with China’s CSI 300[5] rising 1.1%, though technology shares such as Alibaba[6] and Baidu[7] remained under pressure amid a crackdown by the government on technology companies[8].

Shares of U.S.-listed ride-sharing company Didi Global[9] tumbled Tuesday after it was ordered to stop signing up new users and pull its app from online stores while it beefs up customer security. Announcements of cybersecurity probes into other Chinese U.S.-listed companies sent shares of Full Truck Alliance[10] and Kanzhun[11] tumbling on Tuesday. The Stoxx Europe 600 index[12] climbed 0.7%, even after Tuesday’s mostly weaker session on Wall Street.

The European Union on Wednesday lifted its growth expectations for 2021 and 2022, citing effective Covid-19 containment strategies and vaccination progress that has helped economies reopen. Crude benchmarks extended declines from Tuesday[13] after hitting levels last seen in 2014 following collapsed talks[14] between the Organization of the Petroleum Exporting Countries and its allies over disagreements on increasing production. West Texas crude oil was down 1.8% in mid-morning trading and Brent crude declined 1.4%.

Didi Global[15]  (ticker: DIDI) has dropped 6.4% one day after shedding 20% after Chinese regulators ordered it deleted from that nation’s app stores. U.S. Sen.

Marco Rubio was also calling out the company[16]. AMC Entertainment[17]  (AMC) has dropped 11% after dropping 3.9% on Tuesday[18]. That sets it up for a fourth straight loss, which would be the longest losing streak since April.

Oasis Petroleum[19]  (OAS) slipped 2.3% even after getting upgraded to Outperform from Sector Perform at RBC Capital. Boston Beer[20]  (SAM) has risen 2.3% after getting upgraded to Outperform from Neutral at Credit Suisse. Sunnova Energy International[21]  (NOVA) has gained 0.8% after getting upgraded to Strong Buy from Outperform at Raymond James.

Masco[22]  (MAS) has dropped nearly 0.9% after getting cut to Underweight from Neutral at JPMorgan.

Write to Alexandra Scaggs at [email protected] and Ben Levisohn at [email protected][23][24]


  1. ^ bond yields (
  2. ^ Dow Jones Industrial Average (
  3. ^ S&P 500 (
  4. ^ Nasdaq Composite (
  5. ^ CSI 300 (
  6. ^ Alibaba (
  7. ^ Baidu (
  8. ^ crackdown by the government on technology companies (
  9. ^ Didi Global (
  10. ^ Full Truck Alliance (
  11. ^ Kanzhun (
  12. ^ Stoxx Europe 600 index (
  13. ^ Tuesday (
  14. ^ collapsed talks (
  15. ^ Didi Global (
  16. ^ was also calling out the company (
  17. ^ AMC Entertainment (
  18. ^ dropping 3.9% on Tuesday (
  19. ^ Oasis Petroleum (
  20. ^ Boston Beer (
  21. ^ Sunnova Energy International (
  22. ^ Masco (
  23. ^ [email protected] (
  24. ^ [email protected] (