The Globe and Mail reports in its Wednesday edition that Toronto and New York ended modestly lower on Tuesday as investors remained worried the U.S. Federal Reserve will keep interest rates higher for longer. A Reuters dispatch to The Globe says that financials were the biggest drag on the S&P 500 and on the Canadian benchmark stock index. An S&P downgrade of multiple regional U.S. lenders weighed on bank shares, with both the KBW regional banking index and the S&P 500 banks index falling more than 2 per cent. Investors will seek clarity on the rate outlook when Fed chair Jerome Powell speaks at a meeting of central bankers on Friday in Jackson Hole, Wyo. The benchmark 10-year Treasury yield on Tuesday hit its highest in almost 16 years on the view the Fed could keep rates higher for longer. Canada's five-year yield climbed 3.6 basis points to 4.19 per cent, its highest level since November, 2007. The S&P/TSX Composite Index ended down 93.66 points at 19,691.21, its lowest closing level since June 26. The Toronto Stock Exchange is expected to rise less than previously expected over coming months and could see a correction as investors grapple with a slowdown in China and higher borrowing costs.