Tech Gains Buoy Stocks After Volatile Fed Session: Markets Wrap

Disappointment the Federal Reserve steered clear of signaling imminent rate cuts unnerved bond traders, sending 10-year yields to the biggest runup in two weeks. Smaller declines in stocks were quickly reversed in late hours as Microsoft Corp. and Meta Platforms Inc. reported solid earnings.

An initially calm investor reaction was broken when Fed Chair Jerome Powell said no decision has been made about easing policy in September. The US labor market “looks solid,” he said, while inflation remains above target.

Jerome Powell.

Photographer: Al Drago/Bloomberg

The S&P 500 fell 0.1%. Two-year yields rose seven basis points to 3.93%. While the concerted pullback in stocks ...