Stocks end lower to kick off May after First Republic Bank fails

U.S. stocks finished the first day of May lower, giving up earlier gains, as investors monitored the health of regional banks and kept the Federal Reserve's rate decision on Wednesday in focus. The Dow Jones Industrial Average shed about 46 points, or 0.1%, ending near 34,051, according to preliminary FactSet figures. The S&P 500 index was fractionally lower near 4,167, while the Nasdaq Composite Index ended off 0.1%. The big focus on Monday was the failure of First Republic Bank, (FRC) which was seized by regulators, marking the third major regional bank to collapse since mid-March. Most of First Republic's assets were auctioned off to JP Morgan Chase & Co. (JPM) early Monday. Looking ahead, the Fed is expected to raise its policy rate by another 25 basis points on Wednesday, perhaps for the last time in this tightening cycle.

-Joy Wiltermuth

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05-01-23 1605ET

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