Stocks Ended Lower Despite Dovish Fed Statement

U.S. stocks closed lower on Wednesday as investors remained on edge amid earnings as the Federal Reserve reaffirmed its data-dependent stance following a weak first-quarter GDP report. The Dow Jones Industrial Average dropped 74.61 points, or 0.41%, to 18,035.53. The S&P 500 was down 7.91 points, or 0.37%, to 2,106.85. The Nasdaq Composite fell 31.78 points, or 0.63%, to 5,023.64.

The Federal Reserve downgraded its view of the U.S. labor market and economy on Wednesday in a policy statement that suggested the central bank may have to wait until at least the third quarter to begin raising interest rates.

CEO Satya Nadella on Wednesday unveiled some of his riskiest moves yet as he tries to win back software developers to write more apps for the Windows operating system.

Yelp Inc (YELP.N), the operator of consumer review website Yelp.com, posted lower-than-expected quarterly revenue. Yelp’s net loss attributable to common stockholders narrowed to $1.3 million, or 2 cents per share, in the first quarter ended March 31 from $2.6 million, or 4 cents per share, a year earlier. Revenue rose about 55 percent to $118.5 million.