Fed’s Effort to Bolster U.S. Recovery Fails to Calm Investors
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The Federal Reserve’s first attempt to bolster the flagging U.S. recovery shows no sign of dispelling investor concerns the world’s largest economy may slide back into a recession.
The Standard & Poor’s 500 Index fell for a third straight day yesterday after paring losses in the hours after the central bank’s Aug. 10 announcement it would sustain its assets at the current level. A subsequent decline in 10-year Treasury yields hasn’t yet filtered through to corporations now paying higher premiums.