Dow Jones Gives Up Record After Hawkish Fed Shift

The Dow Jones Industrial Average (DJIA) briefly set a new record on Wednesday, marking its third straight day of all-time highs, before reversing sharply.

The sell-off followed a hawkish tilt by the Federal Reserve, with markets focusing on Kevin Warsh's initial policy decision as Fed chair. The move erased the session's gains and pushed the index into negative territory.

Traders interpreted Warsh's decision as a signal that the central bank will prioritize inflation control over supporting equity markets, triggering profit-taking across the board.