Investors Pare Rate-Hike Bets After Warsh Declines to Guide on Next Move -- WSJ

By Chelsey Dulaney

Markets are steadying at the end of a rocky week, while investors are paring bets that the Federal Reserve will raise interest rates this month after comments from Chairman Kevin Warsh.

Speaking overnight in Bangkok, Warsh did little to dispel investors' view that the Fed isn't in a rush to raise rates despite a string of hotter-than-expected inflation readings this week.

The dollar retreated along with rate-hike expectations.

Elsewhere, markets are catching their breath. The Dow industrials is edging up while the Nasdaq composite is in the red, but both moves are small. Benchmark 10-year Treasurys are on course for their best week since February and Brent crude prices are hovering around $105 a barrel. Stocks in Asia and Europe rebounded.

The artificial-intelligence trade remains on fragile footing, with CoreWeave shares coming under renewed pressure today. The Nvidia-backed compute provider has been at the center of this week's tech rout, as investors fret over how higher borrowing costs will hit the most highly leveraged players in the data-center buildout.

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(END) Dow Jones Newswires

October 16, 2026 10:03 ET (14:03 GMT)