Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at markets.research@thomsonreuters.com

DEBT DREAD SINKS U.S. STOCKS

A broad selloff sent Wall Street sharply lower on Wednesday on mounting debt fears as investors monitored the progress of Trump's massive tax and spending package making its way through the Capitol chambers.

All three major indexes ended the session with their steepest single-day percentage losses since April 21. The small-cap Russell 2000 .RUT suffered its largest daily drop since April 10.

Airlines .SPCOMAIR, regional banks .KRX, housing .HGX, transports .DJT and real estate .SPLRCR were among the day's biggest underperformers. Communication services .SPLRCL, buoyed by Alphabet GOOGL.O and Netflix NFLX.O, provided a rare glimpse of green.

Trump's tax bill, which is seen by the Democrats as favoring the wealthy while cutting social programs, is opposed by a circle of hardline Republicans who believe it doesn't cut spending enough.

The nonpartisan Congressional Budget Office said it will add $3.8 trillion to the U.S.'s $36.2 trillion debt over the next decade, and the debate falls just days after Moody's downgraded U.S. sovereign debt over ballooning interest costs.

U.S. Treasury yields gained ground after a $16 billion sale of 20-year bonds revealed soft demand as investors grow increasingly concerned about the country's fiscal outlook.

While the week has been quiet so far on the economic front, on Thursday investors will have jobless claims, existing home sales and S&P Global's advance "flash" purchasing managers' index $(PMI.UK)$ to scrutinize.

Analysts expect jobless claims to land at 230,000, virtually unchanged from last week's report, sales of pre-owned homes to increase 2%, and manufacturing/services PMI to remain in expansion territory, albeit barely.

Here's your closing snapshot:

(Stephen Culp)

*****

WEDNESDAY'S EARLIER LIVE MARKETS POSTS:

KENVUE'S NOT-SO-SMOOTH SAILING COURSE COULD CHANGE, CANACCORD GENUITY SAYS CLICK HERE

IS THE TRANSPORTATION CANARY SINGING A SONG ABOUT RECESSION? CLICK HERE

SEMIS VS SOFTWARE: WHO WILL TRIUMPH IN THIS TECHNO-THRILLER? CLICK HERE

MORTGAGE DEMAND DROPS AS RATES HIT HIGHEST SINCE FEBRUARY CLICK HERE

STOCKS ABHOR A VACUUM: WALL STREET RED AT TOP OF WHAT APPEARS TO BE AN UNEVENTFUL SESSION CLICK HERE

NASDAQ COMPOSITE: TRADERS GAUGE INTERNAL TENSION CLICK HERE

HOT UK INFLATION: NOT AS BAD AS IT LOOKS? CLICK HERE

CHOPPY WATERS NOW, BUT EUROPE BULL CASE BUILDING - MS CLICK HERE

NO BIG SHIFT OUT OF US TREASURIES BY MID-APRIL - BOFA CLICK HERE

DEFENSIVES UP, BANKS STEADY, UK RETAILERS SLIDE CLICK HERE

NERVOUS INVESTORS PUT DOLLAR UNDER PRESSURE CLICK HERE