US stocks end lower as investors brace for Fed decisions

By Ovunc Kutlu

ANKARA (AA) - US stock market indexes closed lower Tuesday, extending their downtrend, as investors braced for the Federal Reserve's key meeting that will be concluded on Wednesday.

The Dow Jones Industrial Average was down 106 points, or 0.3%, at 35,544. The S&P 500 lost 35 points, or 0.75%, to 4,634.

The Nasdaq plummeted 175 points, or 1.14%, to 15,237.

The VIX volatility index, known as the fear index, was on the rise again, adding 7% to 21.71.

The dollar index gained 0.26% to 96.57, while the yield on 10-year US Treasury notes rose 1.2% to 1.441%.

Precious metals reversed course and lost value with gold shedding 0.87% to $1,771 per ounce and silver falling 1.7% to $21.95.

Crude prices were down around 1.4%, with Brent crude trading at $73.34 per barrel and US benchmark West Texas Intermediate crude at $70.36.

The Federal Reserve is widely expected to increase reduction of its monthly asset purchases in order to conclude tapering in March instead of June.

The central bank may also signal three rate hikes for 2022 to tame record high inflation, according to some experts.