Stocks fell as Fed's Powell remained unambiguously hawkish as the Federal Reserve continues its most aggressive tightening campaign since the 1980s to combat inflation.

In a session marked by ups and downs, the S&P 500 fell sharply after the Fed's chairman stated that the central bank still has "some ways to go" in its policy cycle, adding that it is far too early to consider pausing hikes because rates could peak at higher levels than previously thought. Equities rose briefly after he stated that a slower pace of rate hikes could begin as early as December.

Megacap technology bore the brunt of the selling, with titans such as Apple and Tesla falling more than 3.5%. Two-year US yields, which are more sensitive to upcoming Fed moves, reversed course and rose. the dollar gained.

In new language added to their statement, the Federal Open Market Committee stated that "ongoing increases" will likely be required to bring rates to a level that is "sufficiently restrictive to return inflation to 2% over time." Officials unanimously agreed to raise the benchmark rate target by 75 basis points to a range of 3.75% to 4%, the highest level since 2008.