Stocks Slide as Fed Chief Signals Inflation Fight Isn’t Over

U.S. stocks ticked lower on Tuesday after Federal Reserve Chairman Kevin Warsh said the central bank’s battle against rising prices is not finished. Speaking publicly, Warsh hinted that more interest rate hikes could be on the table. That pushed bond yields higher, as investors bet on a longer period of tight monetary policy. Higher bond yields often make stocks less attractive, especially for growth companies that rely on cheap borrowing. The market’s dip was modest but broad, with major indexes closing in the red. Warsh did not give a clear timeline for future moves, but his tone suggested the Fed remains cautious. Inflation has cooled from its peak, but officials say they need more proof before easing up. For now, traders are adjusting to the reality that “higher for longer” may be the new norm. The next policy meeting will be watched closely for any shift in language.