>> Hopes for a Santa Claus rally are fading fast. Wall Street suffered another steep decline Friday. Broad based selling dragged all of the 11 major sectors lower, including health, technology and energy. The Dow dropped 500 points at the end of trading on Friday, Wall Street posted its lowest weekly close since March.
With economic growth slowing in China and Europe, investors are looking for the Federal Reserve to save the day, when policy makers meet in the coming week. Reuters stocks correspondent, Louis Crosskelp, says markets expect the Fed to give hints it will be dovish. That's Wall Street speak for less aggressive.
>> The Fed meeting will be huge next week, I mean I think you have expectations now that maybe the Fed is gonna be a little bit more dovish, as it looks to set interest rate policy heading into 2019. This is coming from statements from Jerome Powell, the Federal Reserve Chair and other Fed officials that investors now have this sort of more dovish expectations.
And whether or not he confirms those. And the Fed confirms those at the meeting on Wednesday, will be absolutely critical to how the stock market finishes 2018.>> As it is, with only two weeks to go stocks are limping toward the end of the year. The S&P 500 financial index closing down Friday, by more than 20% from its January record high.
Which means one thing, that sector is in a bear market. Big losers on Friday, Goldman Sachs, Citigroup and Wells Fargo. Besides the Fed meeting, investors will be closing watching in coming days for anymore signs of a thaw in trade relations between the US and China, which could go a long was in easing growing worries the global economy is sinking.