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Stocks Turn Lower, Dollar Rises After Fed Minutes: Markets Wrap

  • Bloomberg dollar index rises for fourth day on higher yields
  • S&P 500 falls for second day after erasing gain of 1 percent
Bloomberg business news
The risk of a recession is rising as central banks go too far on rate hikes, Saxo Bank’s Steen Jakobsen says.Markets: European Open. (Source: Bloomberg)
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U.S. stocks erased gains to end lower for a second day, while the dollar jumped with Treasury yields on speculation that the pickup in inflation signaled by data since the Federal Reserve’s last meeting will force a faster tightening schedule.

The catalyst for the late-day selloff was Fed meeting minutes that painted the picture of a central bank increasingly confident that economic growth will pick up steam but still concerned inflation could miss targets. The initial reaction saw stocks jump with bonds, while the dollar fell.