Nasdaq drops 2.3% as stocks end sharply lower after remarks by Fed’s Brainard

Stocks fell sharply Tuesday, with the tech-heavy Nasdaq Composite leading the way among major indexes after remarks by Federal Reserve Gov. Lael Brainard sparked a jump in Treasury yields. The Dow Jones Industrial Average DJIA, -0.80% fell around 280 points, or 0.8%, to close near 34,642, according to preliminary figures, while the S&P 500 SPX, -1.26% dropped 57 points, or 1.3%, o finish near 4,525. The Nasdaq COMP, -2.26% gave up around 328 points, or 2.3%, finishing near 14,204. Brainard, in a speech, said the Fed will “continue tightening monetary policy methodically through a series of interest rate increases and by starting to reduce the balance sheet at a rapid pace as soon as our May meeting.” The 10-year Treasury yield TMUBMUSD10Y, 2.607% jumped 14.5 basis points to 2.554. Yields and debt prices move opposite each other.