Stocks continue to slump on fears about inflation – and whether the Federal Reserve can bring down prices without sparking a recession.

U.S. employers added 428,000 jobs in April, as the unemployment rate held steady at 3.6%.

The declines come a day after the Federal Reserve raised interest rates by the most in over two decades as it embarks on a high-stakes fight to bring down inflation.

Markets jumped after Fed Chair Jerome Powell said the central bank was not contemplating bigger rate hikes than the half-a-percentage-point increase it delivered on Wednesday.

The Federal Reserve raised interest rates by half a percentage point Wednesday, in an effort to cool off demand and lower inflation. Consumer prices have been rising at the fastest pace in 40 years.

The Federal Reserve is expected to approve its largest interest rate hike in more than two decades this week. Additional rate increases are likely, as the Fed tries to regain control over inflation.

Stocks were pummeled on Friday with the Nasdaq slumping more than 4% to post its worst month since 2008. Why things have gotten so bad in Wall Street.

U.S. GDP growth likely slowed sharply in the first few months of the year, but the economy may be sturdier than it looks.

U.S. GDP growth likely slowed sharply in the first few months of the year, but the economy may be sturdier than it looks.

With inflation at a four-decade high, a growing number of forecasters worry the U.S. economy may be headed to a recession as the Fed gears up to raise interest rates aggressively.

Inflation in March was the highest since December of 1981, with prices up 8.5% from a year ago. Rising prices are especially hard on low-income people, who spend more of their money on necessities.

The central bank raises its benchmark rate by a quarter percentage point in an effort to tamp down inflation. Additional rate hikes are likely in the months to come.

Biden's pick to be the Fed's top bank regulator has withdrawn her nomination. She attracted Republican opposition after calling on bank regulators to monitor the financial risks from climate change.

The opposition of Manchin, the Democratic senator from West Virginia, likely dooms Raskin's chances to be confirmed.

U.S. employers added 678,000 jobs in February as the unemployment rate fell to 3.8%, from 4% in January. The Federal Reserve hopes to curb inflation without stalling job growth.