CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

US mid-day: Wall Street lower for third straight day

By Joseph Toppe

17:45, 15 December 2021

The entrance to the Wall Street station on the New York Subway
Stocks fell for the third straight day on Wednesday - Photo: Shutterstock

The market is lower in early trading on Wednesday as the US Federal Reserve’s policy meeting gets underway.

Halfway through the session, the Dow Jones Industrial Average slipped nearly 121 points, or 0.3%, the S&P 500 went around 0.3% lower, while the Nasdaq Composite lost almost 0.7%.

At the close of yesterday’s trading, the Dow Jones Industrial Average was down 106.77 points, 0.3%, the S&P 500 was off more than 35 points, or 0.75%, while the Nasdaq Composite dipped over 175 points, or 1.14%.

Federal Reserve meets today

The Federal Open Market Committee (FOMC) meeting is the key market event of the day.

Investors will be paying particular attention to how much the US Federal Reserve will slow monthly asset purchases (tapering) from the current pace of $15bn (£11.3bn) monthly, as well as how the members' estimates for the interest rate-hike cycle (dot-chart) and economic projections in the coming years have evolved.

What is your sentiment on US30?

43436.6
Bullish
or
Bearish
Vote to see Traders sentiment!

Winners and losers: Tech stocks fall again

In early trading, shares of Occidental Petroleum are off around 4%, while shares for Eli Lilly went up near 7%, leading the S&P 500 in gains on Wednesday.

In other energy stocks, shares of Baker Hughes have fallen a little more than 4%, while shares of Chevron are approximately 1.02% off and shares of Exxon Mobil are almost 1.2% behind.

Shares of Boeing are down around 2.3%, helping to drag the blue-chip Dow lower.

In tech stocks, shares of Meta Platforms are down around 2.19%, shares of Amazon are down nearly 2.24%, while shares of Apple are around 1.10% in decline and shares of Netflix and Alphabet are off by nearly 2.14% and 1.31% respectively.

US500

5,874.80 Price
-1.230% 1D Chg, %
Long position overnight fee -0.0242%
Short position overnight fee 0.0019%
Overnight fee time 22:00 (UTC)
Spread 1.5

HK50

19,471.80 Price
+0.200% 1D Chg, %
Long position overnight fee -0.0223%
Short position overnight fee 0.0004%
Overnight fee time 22:00 (UTC)
Spread 30.0

DE40

19,240.60 Price
+0.100% 1D Chg, %
Long position overnight fee -0.0200%
Short position overnight fee -0.0022%
Overnight fee time 22:00 (UTC)
Spread 8.0

US30

43,436.60 Price
-0.710% 1D Chg, %
Long position overnight fee -0.0242%
Short position overnight fee 0.0019%
Overnight fee time 22:00 (UTC)
Spread 11.0

In the retail industry, shares of Walmart are up around 0.33% as shares of Costco are up around 1.21%.

In apparel, shares of Nike are nearly 1.3% in the red.

Oil: Crude prices stay down on Wednesday

Oil futures are down on Wednesday with the global benchmark, Brent crude, leaking 1.2%, as traders predict a faster pullback in Fed stimulus.

Prices dropped on Tuesday following a report from the International Energy Agency stating it will cut its oil demand outlook for next year by 100,000 barrels a day.

Gold: Metal’s midweek woes

Gold futures are on pace for another drop on Wednesday.

February gold dipped $6.10, or 0.3%, to trade at $1,766.20 an ounce, following a 0.9% decline on Tuesday, while March silver lost 31.4 cents, or 1.4%, to $21.61, after it dropped 1.8% yesterday.

Forex: Yields rise as Fed meets

On Wednesday, one US dollar equals 0.76 of the pound sterling, 0.89 of the euro, and 1.29 of the Canadian dollar, holding onto a slight edge from earlier in the week.

The yield on the benchmark 10-year U.S. Treasury note rose to 1.441% Wednesday from 1.437% Tuesday.

Read More: Walmart-backed robotics company Symbotic going public

Markets in this article

GOOGL
Alphabet Inc - A (Extended Hours)
172.70 USD
-2.9 -1.650%
AMZN
Amazon.com Inc (Extended Hours)
202.55 USD
-8.62 -4.080%
AAPL
Apple Inc (Extended Hours)
225.07 USD
-2.8 -1.230%
BKR
Baker Hughes
42.97 USD
-0.27 -0.630%
BKR
Baker Hughes
42.97 USD
-0.27 -0.630%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 660,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading