The bond market prepares for a hike to interest rates, while U.S. stocks drift lower | Business
NEW YORK (AP) — The bond market swung Friday as investors built bets that the Federal Reserve may hike interest rates soon to get the nation’s high inflation under control. U.S. stocks, meanwhile, dipped but not by much after economists said a speech by Chairman Kevin Warsh helped strengthen faith that the Fed will do what’s needed to bring inflation down, even if it causes pain for the economy in the short term.
The S&P 500 fell 0.2% after flipping between modest gains and losses through the morning. The Dow Jones Industrial Average dipped 9 points, or less than 0.1%, and the Nasdaq composite slipped 0.5%.
kAm%96 C624E:@? H2D DEC@?86C 😕 E96 3@?5 >2C2? @7 E96 u65 2E 2? 2??F2= 64@?@>:4 DJ>A@D:F> 96=5 😕 y24
kAm(@CC:6D 925 8C@H? E92E 9:D E@F89 E2=2J 36 ;FDE E92E[ F?=6DD E96 u65 324
kAm(2CD9 H2D 252>2?E 282:? @? uC:52J E92E 96 H2?ED E@ 8:G6 7:?2?4:2= >2C^2CE:4=6^4@?DF>6C\DA6?5:?8\:?7=2E:@?\E2C:77D\H286D\2f66bdch_54d36c`ec_bfh3e6275“2cQm:?7=2E:@?k^2m =@H 2?5 k2 9C67lQ9EEADi^^2A?6HD]4@>^2CE:4=6^64@?@>J\;@3D\ECF>A\F?6>A=@J>6?E\C2E6\;@3D662C2C:?8 52E2 D2JD 23@FE E96 64@?@>J 2?5 :?7=2E:@? C2E96C E92? H92E E96 u65 D2JD]k^Am
kAmqFE (2CD9 2=D@ D2:5 uC:52J E92E “D9@CE\E6C> :?E6C6DE C2E6D 2C6 E96 AC65@>:?2?E E@@=” 7@C E96 u65 E@ 5@ :ED ;@3] p?5 96 D2:5[ “x H@F=5 36 92C5 AC6DD65 E@ 56D4C:36 3C@25 7:?2?4:2= 4@?5:E:@?D 2D C6DEC:4E:G6[” 2? :>A=:42E:@? E92E D9@CE\E6C> :?E6C6DE C2E6D >2J ?@E 36 9:89 6?@F89 E@ E2>A 5@H? E96 64@?@>J 2?5 :?7=2E:@?]k^Am
kAm%96 J:6=5 @? E96 EH@\J62C %C62DFCJ[ H9:49 4=@D6=J EC24
kAm%92E’D 2 3:8 >@G6 7@C E96 3@?5 >2C@?E9] %96J’C6 ?@H 36EE:?8 @? 2 ?62C=J dgT AC@323:=:EJ @7 E92E[ FA 7C@> E96 bdT D66? 2 52J 62C=:6C[ 244@C5:?8 E@ 52E2 7C@> r|t vC@FA]k^Am
kAm{@?86C\E6C> J:6=5D 2=D@ C@D6 7@==@H:?8 D@>6 :?:E:2= K:8K28D[ 3FE ?@E 3J 2D >F49 2D D9@CE6C\E6C> J:6=5D] %96 `_\J62C %C62DFCJ J:6=5 4=:>365 E@ c]faT 7C@> c]efT =2E6 %9FCD52J[ 2?5 E96 b_\J62C %C62DFCJ J:6=5 8@E E@ d]a`T 7C@> d]`hT]k^Am
kAmp== E96 >@G6D[ :?4=F5:?8 E96 >@56DE @?6D 7@C DE@4
kAm“%96 A@D:E:G6 >2C:F> @? A@=:4J 4=2C:EJ[ 6G6? H96? E92E 4=2C:EJ 42CC:6D” 2 >6DD286 :>A=J:?8 9:896C :?E6C6DE C2E6D[ 244@C5:?8 E@ $66>2 $929[ 49:67 8=@32= DEC2E68:DE 2E !C:?4:A2= pDD6E |2?286>6?E]k^Am
kAm*:6=5D 925 8@EE6? D@ 9:89 7@C =@?86C\E6C> 3@?5D E9:D DF>>6C[ 😕 A2CE 3642FD6 @7 H@CC:6D 23@FE :?7=2E:@? DE2J:?8 9:89 😕 E96 7FEFC6[ E92E E96 &]$] %C62DFCJ s6A2CE>6?E >256 k2 9C67lQ9EEADi^^2A?6HD]4@>^2CE:4=6^3@?5\>2C@G6k^2m =2DE H66@C6 3@?5D[ E9@F89 2?2=JDED D2:5 :E H:== =:^2CE:4=6^C2E6D\3@?5\>2C:E65 67764Ek^2m]k^Am
