U.S. Stocks Lose Steam Amid Jackson Hole Symposium Anticipation, Recession Fears

U.S. stocks closed slightly lower on Tuesday, ending a multi-session rally. Investors await the Jackson Hole Economic Symposium, where Federal Reserve Chair Jerome Powell is expected to provide insights on future rate cuts. Market volatility remains, influenced by economic data releases and election-year tensions.

U.S. stocks ended slightly lower on Tuesday, breaking a run of gains as the market prepared for the Jackson Hole Economic Symposium beginning Thursday. Major indexes, including the S&P 500, Nasdaq, and Dow Jones, declined, marking an end to a recent rally following recession-induced sell-offs.

Horizon Investment Services CEO Chuck Carlson noted the market's pause after significant gains last week. He emphasized that today's performance doesn't suggest a trend change, but investors are temporarily cautious ahead of upcoming economic discussions.

Attention is now on Federal Reserve Chair Jerome Powell's speech at the symposium. Market participants will analyze his remarks for clues on policy rate cuts. Current market expectations lean towards a 25 basis-point rate cut, with potential revisions to employment data also in focus. Concurrently, election-year tensions at the Democratic National Convention could further influence market movements.

(With inputs from agencies.)