Forex
US Stocks Steady Amid Rising Bets on Interest Rate Hike
The bond market swung on Friday as investors built bets that the Federal Reserve may hike interest rates soon to control high inflation.
US stocks held steady, dipping slightly after economists said a speech by Chairman Kevin Warsh strengthened faith that the Fed will bring down inflation, even if it causes short-term economic pain.
The bond market's move was driven by investors increasing their bets on an interest rate hike, which would help curb inflation but potentially slow economic growth.
Economists believe the Fed may raise rates to combat high inflation, despite concerns about its impact on the economy in the short term.