- Yields on US Treasuries rose while stocks fell as traders digested comments from the Federal Reserve's most recent meeting.
- Following the release of the minutes from the Fed's June meeting, which indicated hawkish leanings from some voting members, the S&P 500 fell 0.2%. Wall Street was taken aback when officials paused their rate-hiking cycle after ten consecutive increases. Among the notable movers on Wednesday were United Parcel Service, which fell as employees moved closer to a strike over pay, and Coinbase, which fell following a downgrade.
- The yield on policy-sensitive two-year Treasuries increased to 4.94%, while the yield on 10-year Treasuries increased to 3.93%. That inverted yield curve is frequently interpreted as a sign of an impending economic downturn. The Fed anticipates two more rate hikes this year, which could weigh on economic growth and corporate profits. The next rate decision by the Fed is due in three weeks.
