Wall Street Rattled as Powell Downplays Next Move: Markets Wrap

Wall Street was shaken Wednesday as evidence of division at the Federal Reserve over the future of monetary policy whipsawed stocks and pushed bond yields higher.

After the central bank delivered a widely anticipated rate cut, Chair Jerome Powell counseled against trying to predict whether another reduction was likely in 2025. His remarks reined in expectations in financial markets, with traders reducing bets on a quarter-point cut in December.

Jerome Powell.

Transition: Finding Opportunity Amid Disruption.” Photographer: Hannah Beier/Bloomberg

“In the committee’s discussions at this meeting there were strongly differing views about how to proceed in December. A further reduction in the policy rate at our December meeting is ...