US stocks slip after Federal Reserve shuts down bond-buying program; Dollar, bond yields rise

NEW YORK, N.Y. – U.S. stocks are closing slightly lower after the Federal Reserve said it was shutting down a bond-buying program because the economy no longer needs as much help.

Gold and bond prices fell and the dollar jumped against other major currencies Wednesday as investors anticipated higher interest rates.

The Standard & Poor’s 500 index fell two points, or 0.1 per cent, to 1,982.

The Dow Jones industrial average fell 31 points, or 0.2 per cent, to 16,974. The Nasdaq composite fell 15 points, or 0.3 per cent, to 4,549.

Facebook slumped 6 per cent after its chief financial officer said the social networking giant’s expenses could rise sharply next year as it ramps up spending.

Bond prices fell. The yield on the 10-year Treasury note rose to 2.32 per cent.