Wall Street ended Wednesday down for the second day in a row after oil prices once again broke records, and minutes released from a Federal Reserve meeting painted a bleak economic picture. The Dow Jones industrial average fell 227 points – its widest two-day loss since late February. The slump began as the price of oil shot up more than $4 to break $134 a barrel for the first time. It continued when the Federal Reserve minutes from last month meeting showed policymakers expect sharply lower economic growth and higher unemployment later this year. Despite the poor outlook, the central bank is not expected to cut interest rates further in an attempt to stimulate the economy for fear of incurring higher inflation. According to preliminary calculations, the Dow fell 227.49, or 1.77 percent, to 12,601.19, after falling nearly 200 points on Tuesday. The index's two-day drop of about 427 points, or 3.3 percent, is its biggest since late February. Broader stock indicators also fell. The Standard & Poor's 500 index fell 22.69, or 1.61 percent, to 1,390.71, while the Nasdaq composite index fell 43.99, or 1.77 percent, to 2,456.09. Crude oil soared $4.19 to settle at $133.17 a barrel on the New York Mercantile Exchange — about $20 higher than it was at the beginning of May. It passed $134 a barrel in after-hours trading. The New York Stock Exchange composite fell 138.98 to 9,397.03, while the American Stock Exchange composite dropped 7.82 to end at 2,397.61. The Russell 2000 index of smaller companies fell 8.53, or 1.16 percent, to 727.11. The price of a barrel of light, sweet crude oil for June delivery rose $4.19 to end the day at $133.17. The day's price is about $20 more than at the beginning of May.
