Wall Street ends lower, pausing rally as Powell testimony looms

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Wall Street ends lower, pausing rally as Powell testimony looms
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U.S. stocks softened on Tuesday, closing in negative territory as investors began the holiday-shortened week by taking profits in the wake of a sustained rally amid signs of weakening global demand. | Reuters

Including Tuesday’s loss, the benchmark S&P 500 has advanced 14.3 percent so far this year.

Concerns over slowing global demand loomed larger after China cut its lending benchmarks to jump start sluggish demand, which offset a 21.7- percent surge in housing starts, the largest monthly jump in thirty years. Electric vehicle rivals Rivian Automotive Inc and Tesla Inc rose 5.5 percent and 5.3 percent, respectively, after Rivian announced it had agreed to adopt Tesla’s charging standard.

U.S.-listed shares of Alibaba Group dropped 4.5 percent after the e-commerce company announced Daniel Zhang would step down from his roles as CEO and chairman to focus on the company’s cloud division. Shares of Fedex Corp dropped nearly 5 percent in extended trading after the company reported quarterly results.

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