U.S. Stocks Trim Losses June 23 Amid Recession Fears, Fed Hikes

U.S. stock indexes pared earlier steep losses but remained sharply lower on June 23, 2026, as investors weighed recession fears against aggressive Federal Reserve interest rate hikes. The S&P 500 (.SPX) was down 2.0%, the Dow Jones Industrial Average (.DJI) fell 1.8%, and the Nasdaq Composite (.IXIC) dropped 1.8% by midday trading, recovering from declines of 3.1%, 3.0%, and 3.8% respectively. The market volatility followed Fed Chairman Jerome Powell's congressional testimony, where he reaffirmed the central bank's commitment to curbing inflation, potentially at the cost of economic growth. Major growth stocks saw declines, with Tesla (TSLA) falling 4.0%, Microsoft (MSFT) down 2.1%, Apple (AAPL) losing 1.9%, and Amazon (AMZN) dropping 2.2%. Oil prices also declined, adding to broader market pressures.