Fed Raises Rates by Quarter Point, Signals One More Hike Ahead
IXIC sits 26% above its 52-week low of $20,690.249.
Summary
The Federal Reserve raised its benchmark interest rate by a quarter point, as widely expected, and signaled one more hike this year via its dot plot. The central bank said the economy is expanding at a solid pace and that it will support a timelier return to its inflation target. There were no dissents, and Fed Governor Warsh again did not contribute to the dots. The median GDP projection was revised to 2.3% from 2.2%, unemployment to 4.1% from 4.3%, and core PCE to 3.4% from 3.3%. In a Q&A, Warsh said the Fed cannot influence oil prices but intends to prevent energy hikes from broadening into the broader economy.
Updates
· Dow Jones Newswires — Stocks fell and Treasury yields spiked after Chair Warsh declined to specify how many more hikes are coming. The Dow dropped 631 points, the S&P 500 fell 0.45%, and the 10-year yield hit 5.003%, a 19-year high.
At the time of this announcement, IXIC was trading at $26,137.87 on NASDAQ in the Finance sector. The 52-week trading range was $20,690.25 to $27,190.21. This news item was assessed with neutral market sentiment and an importance score of 9 out of 10. Source: Mace News.