U.S. stocks edge lower as bets build on a Fed rate hike next month, with 2-year Treasury yield at 4.34%

US equities edged lower as Fed Chair Kevin Warsh's Jackson Hole remarks reinforced that short-term rates remain the "predominant tool" and that financial conditions are not restrictive, lifting near-term hike expectations. The 2-year Treasury yield jumped to 4.34% and CME pricing shifted toward a roughly 60% probability of a hike next month. Higher front-end yields tighten financial conditions and pressure equity valuations, especially growth sectors.