
AI-generated summary
Inflation remains stubbornly above the Federal Reserve's annual target of 2%, and market expectations that the Fed may further raise interest rates have led to a rise in U.S. bond yields and a fall in the stock market.
U.S. stocks fell on Wednesday. (AP)
[Instant News/Comprehensive Report] U.S. stocks fell on Wednesday as investors worried that the U.S. Federal Reserve (Fed) might further raise interest rates and U.S. government bond yields rose. The S&P 500 fell 0.75%, the Nasdaq fell 1.13%, the Dow Jones Industrial Average fell 352.10 points, 0.68%, and TSMC ADR fell $5.43, 1.20%, to close at $446.57.
According to comprehensive foreign media reports, the inflation rate is still stubbornly higher than the Federal Reserve's 2% annual target. The market expects that the Fed may further raise interest rates, while the 2-year U.S. Treasury bond yield rose to 4.891%, once touching 4.947%, the highest since May 2024. The 10-year Treasury yield surged to 5.106%, the highest level since 2007 and the largest one-day rise since April 2025.
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Crude oil futures prices also rose, further deepening market concerns about rising inflation. Brent crude oil futures rose about 3.9% to $103.08 a barrel, and U.S. West Texas Intermediate crude oil rose about 1.81 to $92.16 a barrel. In addition, large-cap stocks Alphabet fell 3.58%, Amazon fell 2.24%, and Huida fell 1.47%, which also dragged down U.S. stocks.
At the annual meeting of the United Nations General Assembly in New York on Tuesday, U.S. President Trump said the three-hour meeting between the United States and Iran was a "very good meeting." Earlier on Tuesday, Trump said he faced a big decision: make a deal with Tehran or "annihilate" the country.
The Dow Jones Industrial Average fell 352.10 points, or 0.68%, to 51,511.59 points.
The Nasdaq index fell 308.24 points, or 1.13%, to 26936.04 points.
The S&P 500 index fell 58.61 points, or 0.75%, to 7706.03 points.
The Philadelphia Semiconductor Index fell 155.55 points, or 1.23%, to 12534.28 points.
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AI outlook — possibilities, not facts
The Fed may keep interest rates unchanged or raise them slightly at its next meeting
Possible · Within weeks
The United States and Iran will continue negotiations in the coming weeks
Possible · Within weeks

The key project of capacity expansion and transformation of Qinghai Shuangzhai Logistics Base was successfully completed. The renewal construction of 17 sets of switches and rail parts passed the signal interlocking test. The annual loading and unloading capacity was increased from 3 million tons to 5 million tons. The cargo storage area reached 104,000 square meters, which can satisfy the operation of 396 vehicles at the same time.

The OECD pointed out that as interest payments account for an increasing proportion of government expenditures, soaring public debt yields have become a "major hidden danger" to countries' public finances, calling on countries to control spending and improve efficiency. The average yield on 10-year government bonds among G7 members rose to 4%, the first time since 2008. The IIF report shows that total global debt reached a new high of US$365 trillion in the first half of 2026, and government debt exceeded US$110 trillion. Although AI-related investments help economic growth, the U.S.-Iran conflict and energy prices still pose downside risks.

McDonald's announced that it will inject US$8.5 billion (approximately NT$270.4 billion) into franchisees for restaurant renovations and technology upgrades to cope with the slowdown in consumption affected by inflation. The plan, which runs until 2036, is designed to revive growth in the U.S. domestic market. The company will introduce AI technology to improve ordering speed and supply chain management, which is expected to increase efficiency by 2.5%. Despite these measures, McDonald's stock price still fell 6.4% that day.

Taiwan has set up a national pavilion for the first time at the InnoTrans global transportation technology exhibition in Berlin, organized by the Railway Bureau of the Ministry of Transport to showcase smart transportation and railway resilience solutions, aiming to enhance the international visibility of the domestic railway industry and attract international partners.

Economic Minister Gong Ming-xin said that due to the growth of international demand and the impact of the Russia-Ukraine conflict, Taiwan's drone industry's output value has been estimated to be raised from 40 billion yuan to 50 billion yuan (approximately US$1.57 billion) in 2030, and it plans to increase the local manufacturing ratio of key components to 90% to strengthen supply chain self-sufficiency and play a key role in the supply chain of democratic countries.

The Asian Development Bank released a report that revised Taiwan's economic growth forecast this year to 11%, ranking first among 50 economies in the Asia-Pacific region. Despite geopolitical conflicts and energy price fluctuations, technology exports and government stimulus measures driven by the AI boom have become the main driving force supporting economic growth.