U.S. stocks tumbled Thursday, undoing the prior day’s gains as volatility continued to rock the market.
The S&P 500 fell 2.9%, while the Dow Jones Industrial Average dropped 2.3%, or about 716 points. The tech-heavy Nasdaq Composite slumped 3.5%.
Major indexes rallied Wednesday after the Federal Reserve raised its benchmark interest rate by 0.75 percentage point. It was the Fed’s largest rate increase since 1994 but lined up with investors’ expectations as the central bank races to tame high inflation. Fed Chairman
Jerome Powell
said he did “not expect moves of this size to be common,” and investors snapped up shares of companies from banks to technology firms.
That optimism fizzled Thursday. Stocks fell broadly, with each of the S&P 500’s 11 sectors down lower on the day.
Some analysts said investors…
