04:50 PM EDT, 04/04/2024 (MT Newswires) -- US benchmark equity indexes closed lower Thursday, as investors evaluated remarks by Federal Reserve officials and awaited official jobs data for March.

The Dow Jones Industrial Average fell 1.4% to 38,597, while the Nasdaq Composite lost 1.4% to 16,049.1. The S&P 500 declined 1.2% to 5,147.2. All sectors saw losses, led by technology and health care.

Richmond Fed President Tom Barkin said policymakers likely have time for "the clouds to clear" before starting the process of easing monetary policy. Macro data so far this year have been "a little less encouraging," Barkin said, adding that it is likely "smart" for the Fed to take its time before moving to cut interest rates.

Separately, Cleveland Fed President Loretta Mester indicated it would likely be appropriate to lower rates "later this year."

On Wednesday, Fed Chair Jerome Powell said most policymakers expected that it would be appropriate to start reducing interest rates at some point in 2024, though more evidence was needed that inflation is easing.

The US 10-year yield fell 4.2 basis points to 4.31% Thursday, while the two-year rate dropped 3.2 basis points to 4.65%.

The Bureau of Labor Statistics' report is expected to show Friday that the US economy added 213,000 jobs last month, which would mark a drop from a 275,000 increase in February, according to a Bloomberg-compiled consensus.

Applications for unemployment insurance in the US rose by 9,000 to 221,000 in the week ended March 30, the US Department of Labor said Thursday. The consensus was for a 214,000 reading in a survey of analysts compiled by Bloomberg.

"The claims data and other labor market indicators are consistent with a job market that is still quite healthy," Oxford Economics said in a note. "The Fed doesn't require a significant weakening in the labor market to begin cutting interest rates but does need to be confident the job market is balanced enough to support slower wage growth."

Separately, Challenger Gray & Christmas said US-based employers announced 90,309 job cuts in March, up 7% sequentially and 0.7% annually, and marking the highest level since January 2023.

West Texas Intermediate crude oil rose 1.4% to $86.61 per barrel Thursday.

In company news, Conagra Brands' (CAG) fiscal third-quarter results topped Wall Street estimates as volume trends improved on a sequential basis, while the packaged food maker reiterated its full-year outlook. The company's shares jumped 5.4%, the top gainer on the S&P 500.

Lamb Weston (LW) shares slumped 19%, the steepest decline on the S&P 500, after the food processor reported weaker-than-expected fiscal third-quarter results and lowered its full-year guidance amid soft retail traffic trends and an internal systems transition that impacted fulfillment.

Gold fell 0.4% to $2,305.30 per troy ounce, while silver lost 0.6% to $26.91 per ounce.