The Dow Jones Industrial Average plummeted Wednesday, marking its longest losing streak in nearly half a century as the Federal Reserve issued a lackluster economic forecast.
Closing down 1,123 points, or 2.6%, the blue-chip index has now declined for 10 consecutive days, a sequence last witnessed during the presidency of Gerald Ford from Sept. 20 to Oct. 4, 1974, according to CNN. This downturn began after the Fed’s policy statement revealed expectations of only two interest rate cuts in 2025.
The central bank forecasts that inflation will remain above its target for a prolonged period, dashing expectations for swift economic recovery, CNN reported. Despite the Dow’s fall, the broader market has shown resilience, with the S&P 500 and Nasdaq Composite consistently approaching or holding near-record highs.
However, both indices also suffered losses by the day’s end, with…
