The S&P 500 fell 3% on December 18, marking its largest drop following a Federal Reserve meeting since March 2020. The index closed down 171.31 points at 5,879.30, while the Nasdaq Composite declined 3.3%, closing down 665.74 points at 19,443.32. The Dow Jones Industrial Average also experienced a significant drop, unofficially closing down 1,057.86 points, or 2.43%, at 42,392.04. The decline in U.S. stocks was attributed to comments made by Federal Reserve Chair Jerome Powell, which rattled investors and led to increased volatility, with the VIX index soaring by 60%. Additionally, Tesla shares fell 8.3%, marking the largest drop since October 11, 2024, as the stock gave back gains from a post-election surge.