US stocks drop Wednesday after Fed holds rates steady
Business
US stocks took a hit on Wednesday after the Federal Reserve announced it would keep interest rates steady.
The Dow Jones swung wildly, up nearly 300 points early on, but then dropped 800 points from its peak to close 500 points lower.
The S&P 500 and Nasdaq also finished more than 1% down.
Fed split outlook sends yields up
The Fed's decision wasn't just about holding rates; its outlook was split: some members expect rates to stay the same or go down, while others see another hike coming this year.
That uncertainty spooked markets: bond yields jumped, and the US dollar got stronger.
Even with all the turbulence, futures hinted at a small rebound for this morning.