Fed Rate Hike Bets Weigh on US Stocks Amid Inflation Concerns

The US bond market experienced a shift on Friday as investors placed bets that the Federal Reserve may raise interest rates soon to tackle high inflation.

Economists believe that a speech by Chairman Kevin Warsh boosted confidence in the Fed's ability to control inflation, even if it means short-term economic pain.

The S&P 500 dipped 0.2% after fluctuating between minor gains and losses throughout the morning session.

The Dow Jones Industrial Average dropped 9 points, or less than 0.1%, while the Nasdaq composite slipped 0.5%.