How the day closed: indexes, leaders, laggards, and volatility.
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This is the CAMS Closing Market Recap for Wednesday, July 29.
Stocks sold off broadly on day one of the Federal Reserve's two-day policy meeting. The S&P 500 fell about one and a half percent, the Nasdaq 100 dropped two percent, the Dow lost a little over two percent, and the small-cap Russell 2000 slipped about one point six percent.
Volatility woke up in a big way. The VIX jumped more than thirteen percent to finish near twenty point seven, back above the twenty mark and a clear sign of nerves heading into tomorrow's decision.
Under the hood it was a defensive day. Nine of the eleven sectors closed lower. Energy was the standout, up nearly two percent, consumer staples eked out a small gain, and real estate finished essentially flat. At the other end, industrials fell more than three percent, technology dropped about two point six, and financials gave back one point six.
Breadth inside the Dow told the same story. Just seven of the thirty components advanced while twenty-three declined. Dow Inc, Salesforce, and Chevron led the winners. Caterpillar was the hardest hit with a slide of nearly seven percent, followed by Goldman Sachs and Nvidia.
The day's character in one sentence: a broad risk-off session ahead of a Fed decision, with money rotating toward energy and staples while cyclical and growth names took the brunt of the selling.
Tomorrow's calendar comes down to one event: the FOMC rate decision. The desk will be watching how volatility and sector leadership behave once the decision hits the tape.
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