By Devik Jain
Oct 6 (Reuters) – The S&P 500 and the Nasdaq retreated on Tuesday as Federal Reserve Chair Jerome Powell warned the U.S. economic recovery remained far from complete, with a selloff in some of the biggest technology companies also weighing on sentiment.
The domestic rebound could still slip into a downward spiral if the coronavirus is not effectively controlled and growth sustained, Powell said, in a call for more help to businesses and households.
“Markets are worried about what the Fed knows that we don’t know,” said John Augustine, chief investment officer at Huntington National Bank in Columbus, Ohio.
“The things that are obvious to us are that small businesses are closing and unemployment remains high in the services sector. The Fed aggressively wants to address both of those with more fiscal stimulus.”
Comments from officials that a stimulus deal was still possible had lifted the