Stocks fell on Wall Street and bond yields rose Wednesday after Federal Reserve officials signaled they may start easing off the accelerator on their massive support for markets and the economy earlier than previously thought.
The S&P 500 fell after a highly anticipated set of projections by Fed policymakers showed some see short-term rates rising half a percentage point by late 2023. The Fed’s chair also said the central bank has begun talking about the possibility of pulling back on its $120 billion in monthly bond purchases meant to keep longer-term rates low.
The S&P 500 fell 22.89 points, or 0.5%, to 4,223.70.
The Dow Jones Industrial Average fell 265.66 points, or 0.8%, to 34,033.67.
The Nasdaq fell 33.17 points, or 0.2%, to 14,039.68.
The Russell 2000 index of smaller companies fell 5.38 points, or 0.2%, to 2,314.69.
For the week:
The S&P 500 is down 23.74 points, 0.6%.
The Dow is down 445.93 points, or 1.3%.
The Nasdaq is down 29.74 points, or less than 0.2%.
The Russell 2000 is down 21.12 points, or 0.9%.
For the year:
The S&P 500 is up 467.63 points, or 12.5%.
The Dow is up 3,427.19 points, or 11.2%.
The Nasdaq is up 1,151.40 points, or 8.9%.
The Russell 2000 is up 339.84 points, or 17.2%.
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