(New York) The New York Stock Exchange turned red just after the US central bank’s (Fed) decision on Wednesday to pause rate hikes, but likely raise them later in the year.
Around 2:30 p.m. EST, minutes after the Fed’s statement announcing its decision, the Dow Jones index was down 1.11%, the NASDAQ was down 0.49%, and the S
The Fed left its key interest rate unchanged, but plans to raise it further by the end of the year, according to its latest projections.
On the bond market, the yield on two-year Treasury bills, the most sensitive to short-term rates, rose to 4.75% against 4.66% the day before. That at ten years remained stable at 3.81%.
The Fed’s overnight rate remains in the 5.00%-5.25% range so that the central bank gives itself time to “assess … the implications of monetary policy”, explains the monetary institution in its press release.
But Fed Monetary Policy Committee (FOMC) officials see that rate rising to an average of 5.6% by the end of the year, up from their projection last March of 5.1. %.
