Live updates of the fair news: September 23, 2022

US stock futures fell Friday morning as fears of aggressive Federal Reserve policies pushed stock markets towards a large weekly loss and government bond yields continued a dangerous climb to new highs.

Futures linked to the benchmark S&P 500 plunged 1.2% in early trading, while those on the Dow Jones Industrial Average fell more than 300 points, or 1.1%, reaching their lowest level since March 2021. Technology stocks led the way down, with Nasdaq futures falling a hefty 1.3%.

Meanwhile, the 10-year US Treasury note peaked above 3.7, reaching its highest level since 2010. The US dollar index hit a new two-decade high of 112.10. And in commodity markets, crude fell with West Texas Intermediate (WTI) futures falling 2.3% to $81.57 a barrel and Brent crude 2% to $88.61 a barrel.

The measures came after Federal Reserve officials raised interest rates by 75 basis points for the third time in a row earlier this week and Chairman Jerome Powell suggested in aggressive remarks that policymakers were willing to accept economic pain in exchange for restoring price stability.

Goldman Sachs has lowered its year-end 2022 target for the S&P 500 index by about 16% from 4,300 to 3,600 points.

“Interest rate expectations are now higher than we previously assumed, putting the distribution of stock market results below our previous forecasts,” Goldman’s David Kostin said in a note.

NEW YORK, NEW YORK - SEPTEMBER 13: Wall Street street sign is seen on the New York Stock Exchange during afternoon trading on September 13, 2022 in New York City.  US equities opened lower today and closed significantly low, with the Dow Jones falling more than 1,200 points after the release of an inflation report showing prices rose more than expected last month.  The consumer price index released by the Bureau of Labor Statistics showed prices rose 8.3% over the past year, ahead of economists forecasting an 8.1% increase.  (Photo by Michael M. Santiago/Getty Images)

NEW YORK, NEW YORK – SEPTEMBER 13: Wall Street street sign is seen on the New York Stock Exchange during afternoon trading on September 13, 2022 in New York City. (Photo by Michael M. Santiago/Getty Images)

“Based on our client discussions, a majority of equity investors believe that a hard landing scenario is inevitable and their focus is on the timing, magnitude and duration of a potential recession and investment strategies for that outlook,” he wrote.

In company news, Costco (COST) was one of the movers on Friday after the wholesaler reported fourth-quarter fiscal gains and revenue that beat Wall Street estimates, but said inflationary pressures weighed on profit margins as consumer habits shift. Shares fell 3% pre-market.

Shares of FedEx (FDX) fell about 2% during extended trading after the shipping giant announced cost-cutting measures and tariff hikes, a week after a grim pre-profit announcement that sent the stock plummeting 20%.

Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc

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