The Dow experienced its worst week in years, here's what happens next:

By Economic IndicatorsFOXBusiness

After weeks of consistent market gains, Wall Street confronted a big sell-off, with the Dow Jones Industrial Average on track to finish the week down about 800 points, its steepest weekly slide in two years.

The S&P 500 was headed for its biggest weekly decline in two years while the Nasdaq was on pace for its biggest drop in more than a year.

Continue Reading Below

“Today's pullback in stocks is not a bad signal for the market,” Kate Warne, principal, investment strategist at Edward Jones, told FOX Business. “But it will remind investors that stocks don't go straight up. After many years when inflation stayed extremely low, there are many signs it's rising, including today's job report, which showed faster wage increases.  Stocks are declining as investors realize conditions are changing and decide to take less risk.”

More from FOX Business

While stocks experienced a sell-off, bond yields climbed to multi-year highs as inflation was expected to pick up.

“As long as inflation doesn't rise sharply and well above 2%, we think the improving fundamentals of economic and earnings growth will keep stocks rising over time, punctuated by periodic concerns about higher rates and other risks,” Warner said.

Continue Reading Below