US benchmark equity indexes experienced a downturn ahead of Wednesday's market close as traders adjusted their positions in response to the latest economic data. The Nasdaq Composite decreased by 0.7%, settling at 19,038.6, while the S&P 500 fell 0.5% to 5,993.2. Concurrently, the Dow Jones Industrial Average dropped 0.4% to 44,701.6.
Among various sectors, the technology sector faced the most significant decline, whereas real estate emerged as one of the gainers. As markets prepared for closure on Thursday due to the Thanksgiving holiday, new economic reports highlighted mixed signals. US consumer spending growth was reported to have slowed as anticipated in October, while inflation metrics tracked by the Federal Reserve accelerated on an annual basis, releasing further data from the government. In terms of economic performance, the US growth rate for the third quarter remained steady at 2.8%, a figure unchanged from initial forecasts.
However, consumer spending underwent an unexpected downward revision, as revealed by a second estimate from the Bureau of Economic Analysis. Interestingly, pending home sales in the US showed an unexpected increase on a sequential basis in October, with gains noted across all regions, according to the National Association of Realtors. In bond markets, the US 10-year yield decreased by 4.1 basis points, settling at 4.26%, while the two-year yield dropped 2.7 basis points to 4.23%.
In commodities, West Texas Intermediate crude oil saw a slight decline of 0.1%, bringing prices down to $68.72 per barrel..