During his first press conference as Federal Reserve Chair, Kevin Warsh surprised investors by promising a robust fight against inflation, indicating a policy shift that caught many off guard. The market reacted strongly following June's hawkish dot plot, which suggested the committee's preference for a rate hike this year, contrary to expectations of a cut in March. The S&P 500, as represented by the SPDR S&P 500 ETF Trust (NYSE: SPY), dropped 1.2% to 7,440 points from 2:00 p.m. ET to 3:30 p.m. ET as Warsh delivered his remarks. The two-year Treasury yield, a key indicator of policy sensitivity, rose to 4.20%, continuing its upward trend following the statement. Other indices also saw declines, with the Nasdaq 100 falling 1.2% to 29,786, the Dow Jones Industrial Average losing 1.3% to 51,637, and the small-cap Russell 2000 sinking 2% to 2,921. Additionally, the U.S. Dollar Index surged by 0.8% to over 100.15, while gold prices plummeted by 3.4% to $4,229 per ounce. This unexpected turn of events reflects concerns over persistently high prices. Read more on Benzinga.com.