U.S. stocks closed out a second straight session of thin trading on Wednesday, with investors reluctant to make big bets ahead of a crucial meeting of the European Central Bank, which could announce new policies to help contain the euro zone’s debt crisis. Media reports that European policymakers would unveil a bond-buying plan to bring down crippling borrowing costs in euro zone economies boosted sentiment, but it wasn’t enough to drive gains in stocks. Shares opened lower, hurt by FedEx Corp (FDX.N), which late Tuesday cut its quarterly profit outlook on weakness in the global economy. FedEx is considered an economic bellwether because of its role as the No. 2 world shipping company. The stock fell 2 percent to $85.80, United Parcel Service (UPS.N) fell 2.4 percent to $71.94 and the Dow Jones Transportation index .DJT lost 1.1 percent. “While FedEx is only one company, it’s one whose warning is indicative of the global economic slowdown we’re dealing with,” said Leo Grohowski, chief information officer at BNY Mellon Wealth Management in New York. Equities seesawed between positive and negative territory throughout the session. About 5.49 billion shares traded on the New York Stock Exchange, the American Stock Exchange and Nasdaq, well below last year’s daily average of 7.84 billion in a sign of investor caution.... Continue to read.
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