Market Highlights

Wall Street was shaken Wednesday as evidence of division at the Federal Reserve over the future of monetary policy whipsawed stocks and pushed bond yields higher. After the central bank delivered a widely anticipated rate cut, Chair Jerome Powell counseled against trying to predict whether another reduction was likely in 2025. His remarks reined in expectations in financialmarkets, with traders reducing bets on a quarter-point cut in December. Equities wavered after the closely watched meeting between Donald Trump and Xi Jinping wrapped up largely in line with expectations, helping shares hover near their record highs. A gauge of Asian shares edged 0.4% lower after setting a record high Wednesday. Futures for the US and Europe were flatafter President Trump said he had an “amazing meeting” with Xi and would reduce fentanyl tariffs. Contracts indicated modest gains for European stocks at the open. Shares in mainland China dipped 0.8% while the Topix Index in Japan rose 0.7% after the Bank of Japan held its policy rate.