U.S. stocks opened higher and government-bond yields jumped Tuesday, as investors digested Federal Reserve Chairman Jerome Powell’s more aggressive tone on reining in inflation.
The Dow Jones Industrial Average rose 251 points, or 0.7%, in early trading. The S&P 500 and the Nasdaq Composite added 0.5%. Major U.S. stock indexes ended lower Monday after Mr. Powell said the Fed was prepared to raise interest rates in half-percentage-point steps if needed to tamp down inflation.