Dow Jones Drops Amid Hawkish Fed Signals

The Dow Jones Industrial Average fell 549.51 points to 48,949.69 on Friday, Feb. 27, 2026, after higher-than-expected inflation data and hawkish Federal Reserve commentary. The pullback concentrated in the financial sector, with American Express and Goldman Sachs among the heaviest decliners, while defensive names like Merck, Walmart and Amgen outperformed. Traders saw the moves as dampening near-term rate-cut hopes and prompting rotation into defensive assets.