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  • Stocks reversed in midday trading on Wednesday and finished the day sharply lower as Federal Reserve officials renewed calls for Congress to pass more fiscal stimulus.
  • The stock market rose in early trading as investors sized up better-than-expected earnings from Nike and COVID-19 vaccine progress.
  • Watch major indexes update live here.

Stocks fell on Wednesday as Federal Reserve officials renewed calls for Congress to pass more fiscal stimulus.

Fed Vice Chair Richard Clarida piled onto recent calls from Chair Jerome Powell for Congress to pass another round of fiscal stimulus to help the economy recover from the COVID-19 pandemic.

Additionally, Boston Fed Chief Eric Rosengren accused Wall Street of slowing small-business recovery efforts and said sluggish stimulus progress could cripple the economic rebound.

The comments spurred an afternoon sell-off after major indexes had traded in positive territory for much of the morning. They were initially lifted by Nike’s blockbuster earnings report and Johnson & Johnson’s announcement that it would begin a phase-three trial of its COVID-19 vaccine candidate.

Here’s where US indexes stood at the 4 p.m. market close on Wednesday:

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Tesla traded lower on Wednesday after its Battery Day event on Tuesday failed to delight investors. The company detailed a $25,000 car it expects to begin selling in three years.

Nikola was another electric-vehicle stock that traded lower on Wednesday after The Wall Street Journal reported that recent allegations against the company had stalled partnership talks.

Larry Kudlow, an economic adviser to President Donald Trump, said on Tuesday that a V-shaped recovery wasn't dependent on another round of fiscal stimulus.

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"I don't think the V-shaped recovery depends on the package, but I do think a targeted package could be a great help," Kudlow said.

In other news, JPMorgan is set to pay a record $1 billion fine related to market-manipulation charges, Bloomberg reported.

Gold fell as much as 2.3%, to $1,855.86 per ounce, losing its strong support level of $1,900.

Oil prices were mixed. West Texas Intermediate crude traded positive, gaining as much as 2.9%, to $40.75 per barrel. Brent crude, oil's international benchmark, fell 1.2%, to $41.21 per barrel.

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Read the original article on Business Insider