U.S. stocks end lower as Fed lifts interest rates again

Fed announces interest rate decision

The Fed is expected to lift its key rate on Wednesday from a range of 1.75-2 percent to a still-low 2-2.25 percent.

The S&P 500 slipped 9 points, or 0.3 percent, to 2,905. But excluding volatile food and energy prices, the inflation rate rose 2.0 percent, which hits the Fed's goal.

Powell said that the US economy is in a "particularly bright moment", which would point to continued increases in rates. In a news conference after its meeting, though, Chairman Jerome Powell said the removal of the "accommodative" language did not amount to a policy change.

The announcement "was pretty well telegraphed", said JJ Kinahan, chief market strategist at TD Ameritrade, told AFP.

"Looking ahead, we continue to expect quarterly hikes through end-2019, with the risks tilted to the upside", according to a Goldman Sachs report.

Large banks retreated as 10-year bond yields fell, with JPMorgan Chase, Citigroup and Bank of America all shedding more than one per cent.

The central bank stuck with its previous forecast for a fourth rate increase before year's end and for three more hikes in 2019. Britain's FTSE 100 was down 0.1 percent at 7,500.

Oil price stabilisation has brought some fiscal stability in the region which has about $350bn worth of funding requirements at the government level between 2018 and 2021.

No matter your age, what the Federal Reserve does to interest rates will most likely affect you.

Nana Patekar Reacts To Tanushree Dutta's Allegations, Farhan, Twinkle, Priyanka Support Actress
In a conversation with the journalist over a phone call, Nana Patekar dismissed all those allegations made by Tanushree Dutta. Actress seemed fearless while talking to media as she took a dig at Nana Patekar and Raj Thackeray.

Officials increased the target for the bank's benchmark rate by 0.25%, to a range of 2%-2.25%.

At their meeting last month, policymakers said another rate hike was likely to be appropriate "soon", all but announcing their intentions to raise rates by another 25 basis points on Wednesday. Meanwhile, the average rate offered by a traditional branch: 0.08 percent.

Trump also said years of near-zero interest rates following the 2008 financial crisis "killed" savers who expected to live off interest payments from banks.

All nine members of the Federal Open Market Committee voted in favor of the decision. That causes those bonds' prices to drop, and the dynamic has caused numerous most popular bond funds to lose money this year.

Emerging market currencies such as the Mexican peso and the South African rand held gains after rising overnight, relieved that the Fed's projected path of rate increases were in line with expectations.

The Fed is working to get things "just right so you don't overheat but you don't cause a recession", he said. But long-term Treasuries rallied late in the session, with the benchmark 10-year note yield ending at 3.048%, down from about 3.10% shortly after the 2 p.m. EDT release of the Fed decision, which was short of the closely watched 52-week peak of 3.127%.

The rise in the dollar helped perk up European stocks as the slide in the value of the euro and pound helps exporters. The contract gained 0.3 percent on Tuesday to close at $72.28.

Given that the most recently quarterly GDP growth experienced in the U.S. was 4.2 per cent, effectively they are saying that the growth rate that Trump claimed in his address to the United Nations this week made the USA economy the "envy of the world" and the "fastest-growing economy in the world" (it isn't) is temporary and unsustainable and is going to fall away quite sharply. The Fed wants to avoid that whiplash.

Related News:

  • Gwyneth Paltrow & Brad Falchuk Reportedly Set to Marry This Weekend!

    Gwyneth Paltrow & Brad Falchuk Reportedly Set to Marry This Weekend!

    Gwyneth Paltrow has admitted she "broke out" of postpartum depression without the use of medication. Where you're like, 'Oh, why did I do that?' But this was a time when I was in a lot of pain.
    Flu season is back; experts recommend getting vaccinations now

    Flu season is back; experts recommend getting vaccinations now

    But Minnesota health officials say too many children still remain unvaccinated and vulnerable to serious illness and even death. However, its effectiveness depends on the public - last year, 35 percent of the state's population received a vaccine, he said.
    Paul Pogba And Jose Mourinho Have Frosty Meeting At Training

    Paul Pogba And Jose Mourinho Have Frosty Meeting At Training

    Several other members of the squad are also concerned by Mourinho's man-management of the group. Derby County-for which Pogba was a spectator-and Wednesday's subsquent training session.
  • Facebook says 50 million users affected by security breach

    Facebook says 50 million users affected by security breach

    In a statement, Facebook said attackers exploited a vulnerability in the social media site's code. Affected users will receive a notification explaining the breach at the top of their News Feed.
    Mourinho to Pogba: You are the anti-captain

    Mourinho to Pogba: You are the anti-captain

    I always analyse a player as a player and when a player is captain I analyse the player by the player and the captain perspective. Indeed, once a manager loses the dressing room, that's it - and Pogba is clearly a big figure in the Old Trafford dressing room.
    Meghan Markle Reveals Her 'Something Blue' From Royal Wedding

    Meghan Markle Reveals Her 'Something Blue' From Royal Wedding

    In the clip, Meghan is reunited with the dress, which was designed by Clare Waight Keller of Givenchy . The Duchess of Sussex has completed her first solo engagement , looking every inch the modern royal.
  • Elon Musk: 5 things to know about the SEC's fraud complaint

    At that level, the stock is more than 30 percent lower than its 52-week high of $387.46, which it hit on the day of Musk's Tweet. The latest slump came after the Securities and Exchange Commission (SEC ) filed a suit in NY accusing Musk of fraud.
    With Kavanaugh nomination, Trump faces #MeToo

    With Kavanaugh nomination, Trump faces #MeToo

    He said he did not remember being at a party with her. "If I thought he was guilty of something like this, sure", he said. The Senate Judiciary Committee is set to reopen its confirmation hearings for Kavanaugh on Thursday at 10:00 a.m.
    Instagram co-founders call it quits

    Instagram co-founders call it quits

    Then, in July, CEO Mark Zuckerberg seemed to take credit for Instagram's success on the company's earnings call. Kron, director of shareholder advocacy at Trillium Asset Management, which owns 52,000 shares of Facebook.
  • Ryder Cup notebook: Rory McIlroy having a bad day

    Ryder Cup notebook: Rory McIlroy having a bad day

    He silenced his critics in flawless fashion, partnering Ian Poulter to a four and two win over Bubba Watson and Webb Simpson. A spectator was hit in the face by a wayward tee shot from Brooks Koepka on the first day of the Ryder Cup .
    Indonesian city Palu hit by tsunami after strong 7.5 quake

    Indonesian city Palu hit by tsunami after strong 7.5 quake

    Indonesian television showed a smartphone video of the wave rising above the ground floor of a building as people run and scream. That quake destroyed some houses, killing one person and injuring about 10 others, Reuters reports.

    Netherlands: Police arrest seven men suspected of plotting a major terrorist attack

    Dutch police arrest terror suspects in a parking lot in the city of Weert in the southeastern Netherlands. The current threat level in the Netherlands is set at four, which means the chance of an attack is real.


Most liked

At Least 30 Killed by 7.5 Magnitude Earthquake, Tsunami in Indonesia
The tsunami triggered by a magnitude 7.5 quake smashed into two cities and several settlements on Sulawesi island at dusk Friday. Terrifying footage has emerged of the tsunami hitting Palu, which has a population of more than 380,000.

Lil Wayne: 'Tha Carter V' Album Stream & Download
Young Money now belongs exclusively to Wayne , and will continue to be distributed by Republic Records. Listen to the standout track below and stream Lil Wanye's Tha Carter V in its entirety here.

Europe extends Ryder Cup lead to 10
And to be fair, Spieth and Thomas have turned out to be an excellent team, going 3-1, accounting for half the USA points. The match was all square through the 10th before Spieth and Thomas exchanged birdies on the next two holes to move 2-up.

Lindsay Lohan Gets Punched in the Face Trying to Steal Refugee Children
When she doesn't get a proper reply from the kid, she addressed the mother and said, "Let me take them, let them sleep". Do you wanna watch movies? "It would be so cool to watch a movie on a TV or a computer", she told the boy.

Broadcasters, cable news clear schedules for Senate hearing
She said he pinned her down, tried to take her clothes off and held his hand over her mouth when she tried to yell for help. Ford has said she was afraid of being raped or accidentally killed by the allegedly drunk Kavanaugh .

The very first of OnePlus 6T leaked online
We have just shown you the latest 3D renders of the upcoming device which leave nothing much hidden about its design. The smartphone will come with an in-display fingerprint sensor and the "Unlock The Speed" tagline is hinting at it.

Shocking: Key Liverpool Player Set To Miss Chelsea Clash!
We all get judged constantly and for the boys it's much more important what I think than what you think. And on Saturday he opened the scoring at Stamford Bridge in a Premier League clash between the two.

Kavanaugh to Face New FBI Background Probe Before Senate Vote
Jeff Flake came face-to-face with two sexual assault victims who confronted and cornered him in an elevator on Capitol Hill. Was Judge Kavanaugh being truthful with the committee? Prof Ford says he was in the room when she was assaulted.

Brett Kavanaugh: Who are Supreme Court nominee's accusers?
Responding to Avenatti's client, Kavanaugh said in a Wednesday statement, "This is ridiculous and from the Twilight Zone". Ford has accused Kavanaugh of sexual and physical assault during their high school years at a party in the early 1980s.

Brett Kavanaugh's Nomination To Get First Vote In Senate Judiciary Committee
Blasey's allegation is true, the assault and Judge Kavanaugh's denial of it mean that he should not be seated on the U.S. Even Mr Trump, who fiercely defends his nominee, said he would be watching and was "open to changing my mind".

Unai Emery hints he has changed his mind on Aaron Ramsey
Watford are without a win in their last three matches after losing a penalty shoot-out in the League Cup against Tottenham on Wednesday.

KJo Teases "Biggest Blockbuster" With Aamir, SRK, Ranveer & More
He also brought together the two biggest Khans of Hindi Film Industry and they are none other than Badshah Shah Rukh Khan and Aamir Khan .

Flake confronted by two female protesters after announcing he'll back Kavanaugh
Jeff Flake, R-Ariz., listens as Christine Blasey Ford testifies before the Senate Judiciary Committee on Thursday. After a procedural vote that could come over the weekend, the full 100-member Senate could take action next week.

SC lifts ban on women entering Sabarimala
Issues which have deep religious connotation should not be tinkered with to maintain secular atmosphere in the country. Three judges concur with the Chief Justice when he said that historically women have been discriminated.

Efforts By Nations To Bypass Sanctions Against Iran Counterproductive
He used the occasion to accuse Iran of sponsoring terrorism and fueling "conflict around the region and far beyond". Meanwhile, during the Security Council meeting, many countries voiced their support for the Iran nuclear deal .