US stocks fall sharply as Fed indicates sharper policy tightening
The Nasdaq Composite dropped by 2.2%, Dow slipped by 253 points
By Yashasvini Razdan
Published - Apr 05, 2022, 11:14 PM ET
Last Updated - Feb 21, 2024, 01:16 PM EST
The 10-year Treasury yield hit its highest level since May 2019 at 2.56%
Major US benchmark indices fell to their session lows on Tuesday shortly after Federal Reserve Governor Lael Brainard hinted the central bank could take a more aggressive approach to its tightening policy.
The Dow Jones Industrial Average fell 253 points, or 0.7%, to about 34,669. The S&P 500 dropped about 54 points, or 1.1%, to 4,528. The Nasdaq Composite slipped 326 points, or 2.2%, to 14,206.
After opening the day slightly positive, stocks fell after Brainard, said the central bank needs to shrink its balance sheet “rapidly” to drive down inflation. “Inflation is much too high and is subject to upside risks,” she said.
