Stocks fall ahead of Federal Reserve meeting

By CNN Newsource

Published September 19, 2022 7:30 AM

By Nicole Goodkind, CNN Business

(CNN) - US stocks opened lower on Monday after all three major indexes logged their worst week since June. The declines came as interest rates spiked ahead of the Federal Reserve's two-day policy meeting later this week.

The Dow fell 180 points or 0.6%, the S&P 500 dropped by 0.6% and the Nasdaq Composite also opened 0.6% lower.

The bond market reached its highest level in 100 years ahead of what is likely to be a decision by the central bank to raise interest rates by another three-quarters of a percentage point this week. The benchmark US 10-year Treasury note reached 3.5%, its highest level since 2011. The two-year Treasury note reached 3.9%, a 15-year high.

In addition to the Fed meeting, 16 other global central banks, including the Bank of England, are expected to further tighten monetary policy this week.

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