The Fed just threw investors a curveball. Here’s how stocks, bonds, gold and the dollar reacted.

New Fed chair Kevin Warsh surprised investors by taking a tough stance on interest rates and inflation during his first press conference, sending ripples through financial markets. Stocks initially dipped as investors grappled with the potential for higher rates, but later stabilized as some buyers returned. Bonds saw yields rise, while gold prices fell, reflecting a shift in risk appetite. The dollar strengthened as investors sought safety, underscoring the significant impact of Fed policies on global markets and the importance of keeping an eye on central bank maneuvers.