Stocks Climb as Markets Retrace Post-Fed Moves -- WSJ

By Caitlin McCabe

U.S. stocks are up and Treasury yields are down this afternoon, as investors shake off the jitters that followed the Federal Reserve's first rate hike in three years.

Stocks and bonds both stumbled yesterday after officials raised interest rates by a quarter percentage point and signaled at least one more increase this year. But those moves are already reversing.

The S&P 500 rose roughly 1% in trading, while the Nasdaq rose even further. The 10-year Treasury yield is down below 5% and the WSJ dollar index is in retreat after jumping yesterday.

Some analysts attributed the turnaround to investors fine-tuning their reading of the Fed's hawkish tone. Some also credited oil prices, which fell on hopes that disruption to exports via a damaged Saudi pipeline may not be as severe as initially feared. Brent crude futures dropped 2% to trade below $104 a barrel after topping $109 earlier this week.

In other central-banking news, the Bank of England held rates steady, breaking with its peers.

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(END) Dow Jones Newswires

September 17, 2026 14:05 ET (18:05 GMT)