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The Boston Globe

Business

Markets fall on stimulus remarks

The signs are all pointing to an improving economy as more people find jobs, home sales surge in some areas, and confidence rises. Yet investors are selling stocks and bonds, seemingly fixated on just one thing: How soon the Federal Reserve might stop pumping money into the market.

Stocks have fallen sharply for two straight days, pulling the Dow Jones industrial average down 560 points, or nearly 4 percent, to 14,758.32. The sell-off started when Federal Reserve chairman Ben Bernanke suggested Wednesday that a healthier economy would prompt the central bank to start winding down its bond-buying program later this year.

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