NEW YORK (TheStreet) -- U.S. stock indices lost momentum Wednesday as the markets looked ahead to a trio of interest-rate setting results on Thursday and the big job report on Friday. The Federal Reserve's Beige Book snapshot of economic conditions didn't hold any surprises.
Watch the video below for more on how U.S. markets ended the trading day Wednesday:
The Dow Jones Industrial Average
Stocks began the morning strong on hints of progress in striking a cease-fire deal between Kiev and pro-Russia rebels, but started to lose momentum when the VIX broke below 12 in early morning trading, said Schaeffer's senior vice president of research, Todd Salamone. While volume has been light on the SPDR S&P 500 ETF Trust (SPY) , put volume has been relatively high, indicating an absence of buying interest and potentially a lot of hedging activity, according to Salamone.
"With the VIX below 12 -- perceived cheap portfolio protection -- ahead of the ECB/BOJ/BOE monetary policy decisions tomorrow and the August employment report on Friday, hedging activity could be creating a headwind ahead of Thursday and Friday trading," said Salamone.
European Central Bank President Mario Draghi is under rising pressure to inject additional stimulus into the world markets after raising such hopes at last month's central bankers symposium in Jackson Hole, Wyo.
"The expectation is he will unleash more stimulus. If it is more than expected, markets will likely rally. If it is less than expected we could be in for a hard day tomorrow," said Karyn Cavanaugh, CFA, senior market strategist, Voya Investment Management.