Stocks rise after Fed says it will dial back economic aid

By DAMIAN J. TROISE and ALEX VEIGA
AP Business Writers

Stock indexes on Wall Street were on pace for more record highs Wednesday after the Federal Reserve announced plans to begin dialing back the extraordinary aid for the economy it has been providing since the early days of the pandemic. The Fed said it will begin reducing its $120 billion in monthly bond purchases in the coming weeks by $15 billion a month. The central bank’s announcement was in line with what economists expected. The S&P 500 rose 0.5%. The Dow Jones Industrials were up 0.2% and the Nasdaq rose 0.9%. Bond yields rose and crude oil prices fell.