The S&P 500 index fell 2.5%, posting its worst daily drop in two months, with losses in its rate-sensitive communication services and information technology sectors leading the way lower. Those sectors skid 3.8%.
Technology shares have been hit particularly hard by the Fed's dramatic pace of rate increases this year, a tough medicine that many stock-market investors hoped wouldn't be needed too much longer with some recent easing on the inflation front.
Hence, the selloff. The Fed will not lose this battle on inflation.
