U.S. Stocks Extend Slide as Yellen Bounce Ebbs; Gold, Bonds Jump
- Dollar retreats as Fed scales back rate-hike predictions
- Asian index futures mixed ahead of BOJ’s policy review
Fed Leaves Rates Unchanged as Officials See Mixed Outlook
The U.S. equity market’s respite from concerns over the global economy failed to last a single day, with the S&P 500 Index erasing gains that earlier put it on track for the biggest advance in three weeks. Treasury yields and the dollar extended declines after Federal Reserve officials signaled a slower pace of interest-rate increases.
The S&P 500 slid a fifth day, wiping out a rally in the last 30 minutes of trading, after crude oil tumbled to cap its longest run of declines in four months. Emerging-market assets maintained gains as the number of Fed officials who see just one rate hike this year rose to six from one in the previous forecasting round in March. Yields on two-year Treasury notes dropped to a four-month low, while the greenback slid to its weakest level since 2014 versus the yen. The pound rallied on quickening U.K. wage growth.