Turbulent Trade and Fed Forecasts Shake U.S. Stocks

U.S. stocks experienced slight declines amid volatility as investors weighed economic data and Federal Reserve statements against tariff concerns. Market fluctuations followed reports of a cooling economy. The Fed maintained interest rates, signaling possible cuts. Uncertainty around tariffs and spending impacts company outlooks and market predictions.

U.S. stocks closed with slight declines on Thursday, reflecting a day of volatility as investors balanced the latest economic data and the Federal Reserve's policy announcements against ongoing tariff concerns. The trading session saw stocks oscillating between gains and losses.

In recent weeks, selling pressure has mounted following economic indicators that suggest a cooling economy and consumer sentiment, coinciding with the Trump administration's trade tariffs. Despite this, equities had risen in three of the previous four sessions, with a notable rally in the S&P index after the Fed indicated potential interest-rate cuts later this year.

Economic indicators showed a slight increase in weekly jobless claims and a dip in future economic activity, adding to the uncertainty. While technology stocks faltered, energy stocks gained on rising crude prices due to new Iran-related sanctions. Companies face a challenging outlook amidst trade tensions and government spending cuts, affecting future growth prospects.

(With inputs from agencies.)