Stocks fall after Federal Reserve signals rate hike ‘soon’
By DAMIAN J. TROISE and ALEX VEIGA
AP Business Writers
Stocks fell, giving up their gains from an early rally, and Treasury yields climbed Wednesday as investors weighed the Federal Reserve’s latest interest rate policy update. The central bank signaled that it plans to begin raising interest rates “soon” as it moves to fight inflation. Stock indexes initially rose, then fell broadly as Fed Chair Jerome Powell took repeated questions about how and when the central bank will start letting its balance sheet shrink after buying trillions of dollars of bonds through the pandemic. The S&P 500 was down 0.4%. The yield on the 10-year Treasury rose to 1.84%.
