Stocks Close Higher After Fed Announcement

Stocks overcame an afternoon wobble to close mostly higher after the Federal Reserve said it would start reducing its huge bond portfolio next month and was still on track to raise interest rates later this year, the AP reports. Bond yields rose following the Fed's announcement Wednesday. That helped send bank stocks higher. Banks benefit from higher bond yields because it means they can charge higher interest rates on loans. PNC Financial Services rose 1.3%. High-dividend stocks like household goods makers fell. Kraft Heinz fell 1.2%. The Standard & Poor's 500 index rose 1 point to 2,508. The Dow Jones industrials added 41 points, or 0.2%, to 22,412. The Nasdaq slipped 5 points to 6,456. Bond prices fell. The yield on the 10-year Treasury note rose to 2.28%. (More stock market stories.)