NEW YORK, May 3 (Xinhua) — U.S. stocks sank in late session and ended lower on Wednesday as the Federal Reserve didn’t give a clear signal on a pause or cut of interest rate hike.

The Dow Jones Industrial Average fell 270.29 points, or 0.80 percent, to 33,414.24. The S&P 500 was down 28.83 points, or 0.70 percent, to 4,090.75. The Nasdaq Composite Index dropped 55.18 points, or 0.46 percent, to 12,025.33.

All of the 11 primary S&P 500 sectors ended in red, with energy and financials sectors leading the laggards down 1.92 percent and 1.19 percent, respectively. The health sector registered the least decrease down 0.11 percent.

The U.S. Federal Reserve on Wednesday raised the target range for the federal funds rate by 25 basis points to 5-5.25 percent.

In light of uncertain headwinds along with monetary policy restraint, the Fed’s future policy actions will depend on how events unfold in determining the extent to which additional policy firming may be appropriate to return inflation to 2 percent over time, said Fed Chair Jerome Powell at a press conference.

“A decision on a pause was not made today,” Powell said.

The U.S. Federal Open Market Committee (FOMC) has a view that inflation is going to come down not so quickly but it will take some time, said Powell.

“If that forecast is broadly right, it would not be appropriate to cut rates and we won’t cut rates,” said Powell.

During the Fed’s press conference, the selling continued as Powell didn’t mention the possibility of a rate cut before the year-end, which investors were hoping for, noted James Hyerczyk, senior market analyst with market information supplier FX Empire.

There are growing calls for a pause of rate hikes as U.S. inflation eased recently and recession risks heightened.

“The Federal Reserve has already done enough to damage the economy as to some inflation they certainly don’t need to do anymore,” said David Kelly, chief global strategist with JPMorgan Asset Management, in an interview with Xinhua on Monday.

“The Federal Reserve is misreading the inflation problem. That’s where I think they’re making a mistake,” said Kelly.

Inflation doesn’t collapse overnight, but it does gradually come down and so the Federal Reserve should be patient, added Kelly.