U.S. stocks fell on Tuesday after Federal Reserve Chairman Kevin Warsh said inflation remains too high.
All three major indexes closed lower for the seventh time in eight sessions.
The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all ended the day in negative territory.
Warsh’s comments signaled that the central bank is not ready to soften its stance on interest rates.
Investors had hoped for signs that rate cuts could come soon. Those hopes faded after the remarks.
Higher rates tend to pressure stock prices by raising borrowing costs for companies and consumers.
Technology and growth stocks, which are especially sensitive to rate changes, led the declines.
Market participants now await further economic data for clues on the Fed’s next move.
Trading volume was elevated as investors adjusted their positions in response to the chairman’s tone.
