Dow34160.78-7.31(-0.02%)Nasdaq13352.78-189.34(-1.40%)SP 5004326.51-23.42(-0.54%)10-yr Note +29/321.786NYSEAdv 904 Dec 2381 Vol 1.1 blnNasdaqAdv 921 Dec 3551 Vol 5.1 bln Industry Watch Strong: Consumer Staples, Energy, Utilities, MaterialsWeak: Consumer Discretionary, Real Estate, Information Technology, Financials Moving the Market -- Hawkish Fed expectations continued to weigh on sentiment-- Tesla (TSLA) falls nearly 12.0% following earnings -- Disappointing earnings guidance in the semiconductor space-- Technical resistance at the S&P 500's 200-day moving average (4434) Market closes lower on Fed concernsDow -7.31 at 34160.78, Nasdaq -189.34 at 13352.78, S&P -23.42 at 4326.51 [BRIEFING.COM] The S&P 500 lost 0.5% on Thursday, closing lower for the third straight day as investors sold into early strength amid lingering concerns about a hawkish Fed. The Nasdaq Composite (-1.4%) and Russell 2000 (-2.3%) posted steeper declines while the Dow Jones Industrial Average (-0.02%) closed fractionally lower. Each of the major indices started the session with gains over 1.5% in another rebound-minded pursuit. There wasn't any specific news that triggered the positive bias, and likewise, there wasn't a catalyst to account for the intraday turnaround, although it's likely that the Fed remained a primary concern along with disappointing earnings reactions and stubborn technical factors. The fed funds futures market started to price in the probability for five rate hikes this year following the FOMC meeting yesterday, and the Treasury market behaved accordingly as the 2-yr yield jumped 11 basis points to 1.19%. The 10-yr yield declined four basis points to 1.81% as investors sniffed the potential for the Fed to upset growth prospects with its tightening plans. Despite the negative index closes, six of the 11 S&P 500 sectors still closed in positive territory, including energy (+1.2%), utilities (+0.8%), and consumer staples (+0.6%). The consumer discretionary (-2.3%), information technology (-0.7%), and financials (-0.9%) sectors were the influential laggards. The curve-flattening activity in the Treasury market was a headwind for the bank stocks, but as noted, the consumer discretionary sector was the weakest performer, primarily due to a 10% decline in Tesla ($TSLA 829.10, -108.31, -11.6%), which delayed new vehicle launches amid persistent supply chain issues. The Philadelphia Semiconductor Index (-4.8%) was another weak spot, falling 5% after Intel ($INTC 48.05, -3.64, -7.0%), Lam Research ($LRCX 555.30, -41.37, -6.9%), and Teradyne ($TER 111.24, -32.13, -22.4%) each provided disappointing quarterly guidance. McDonald's ($MCD 248.74, -1.11, -0.4%), Dow Inc. ($DOW 60.18, +2.96, +5.2%), MasterCard ($MA 350.53, +5.87, +1.7%), and Comcast ($CMCSA 48.01, -0.45, -0.9%) were other high-profile companies that reported earnings. Apple ($AAPL 159.22, -0.47, -0.3%) closed lower in front of its earnings report after the close. Other factors in the mix included the S&P 500 finding technical resistance at its 200-day moving average (4434), which might have fueled the downside volatility in the broader market, and the Advance Q4 GDP report, which showed decent growth in the economy and inflation. Separately, the U.S. Dollar Index rose 1.4% to 97.25 amid a view that rate hikes will drive greater demand for the dollar in an environment where foreign central banks are hesitant to rein in policy support. Crude futures ($86.62, -0.74, -0.9%) and precious metals were clipped by the stronger dollar. Reviewing Thursday's economic data: The Advance Q4 GDP report showed real GDP increasing at an annual rate of 6.9% (Briefing.com consensus 5.6%) following a 2.3% increase in the third quarter. The GDP Chain Deflator was also up 6.9% (Briefing.com consensus 5.9%) after a 6.0% increase in the third quarter.The key takeaway from the report is the recognition that services spending drove the 3.3% increase in personal spending and that inventory investment was the biggest contributor to the increase in real GDP. Real final sales of domestic product, which exclude the change in inventories, were up 1.9%.Initial jobless claims for the week ending January 22 decreased by 30,000 to 260,000 (Briefing.com consensus 260,000). Continuing claims for the week ending January 15 increased by 51,000 to 1.675 million.The key takeaway from the report is that initial claims came down from the prior week, but are still somewhat elevated presumably due to the effects of the Omicron variant.December Durable Goods Orders decreased 0.9% month-over-month (Briefing.com consensus -0.5%) while orders, excluding transportation, increased 0.4% (Briefing.com consensus 0.4%).The key takeaway from the report is the slowdown in business spending, evidenced by an unchanged reading for nondefense capital goods orders excluding aircraft that followed on the heels of a 0.3% increase in November. Looking ahead, investors will receive Personal Income and Spending for December, PCE Prices for December, the final University of Michigan Index of Consumer Sentiment for January, and the Q4 Employment Cost Index on Friday. Dow Jones Industrial Average -6.0% YTDS&P 500 -9.2% YTDRussell 2000 -14.0% YTDNasdaq Composite -14.7% YTDSource: (Briefing.com) Disclosure: I may trade in the ticker symbols mentioned, both long or short. My articles represent my personal opinion and analysis and should not be taken as investment advice. Readers should do their own research before making decisions to buy or sell securities. Trading and investing include risks, including loss of principal. If you liked this article, please click the LIKE (thumbs up) button. Feel free to leave any comments, question, or opinions. (Sign-up if you haven't already done so). Follow us/bookmark us and check back occasionally for additional articles or comments on our page... Wild Tiger Trading - start/main page. .