Finance

While the central bank ultimately chose to maintain the target range for the federal funds rate at 3.5% to 3.75%, the decision was not unanimous. Three policymakers voted against the hold in favor of a quarter-point rate increase, signaling a more hawkish underlying stance that amplified investor anxiety about persistent inflation.

Oil markets reacted sharply to a resumption of geopolitical conflict involving a surprise missile strike on U.S. forces. Brent crude spiked over 7% to settle above $88 per barrel, complicating the macroeconomic landscape as energy supply disruptions threaten to exacerbate global inflationary pressures.

The tech-heavy Nasdaq continued its downward trend, sliding into correction territory as investors increasingly question massive corporate spending on artificial intelligence infrastructure. Disappointing quarterly revenues from key companies and lower-than-expected earnings from overseas supply chain partners intensified the broad retreat from chipmakers.