Wall Street holds steady after Fed raises rates | Reuters

By Lewis Krauskopf

U.S. stocks were little changed on Wednesday after the Federal Reserve made a widely expected move to raise interest rates for the second time in three months.The U.S. central bank cited continued U.S. economic growth and job market strength, as it proceeds with its first tightening cycle in more than a decade. The Fed also announced it would begin cutting its holdings of bonds and other securities this year.

The Fed "met expectations and delivered a dovish hike," said Brian Jacobsen, chief portfolio strategist at Wells Fargo Funds Management in Menomonee Falls, Wisconsin. "It’s dovish in that they acknowledge the data has softened and they haven’t dismissed the weaker inflation readings as being merely transitory."Data on Wednesday showed U.S. consumer prices unexpectedly fell in May and retail sales recorded their biggest drop in 16 months.

The Dow Jones Industrial Average .DJI rose 30.99 points, or 0.15 percent, to 21,359.46, the S&P 500 .SPX lost 0.15 points, or 0.01 percent, to 2,440.2 and the Nasdaq Composite .IXIC added 2.07 points, or 0.03 percent, to 6,222.44.

The energy sector .SPNY was down 1.9 percent as oil prices weakened. U.S. data showed an unexpectedly large weekly build in U.S. gasoline inventories and International Energy Agency (IEA) data projected a big increase in non-OPEC output in 2018. (Additional reporting by Rodrigo Campos in New York and Yashaswini Swamynathan in Bengaluru; Editing by Anil D'Silva and Nick Zieminski)

This story has not been edited by Firstpost staff and is generated by auto-feed.


Updated Date: Jun 15, 2017 01:15 AM

Also Watch

Social Media Star: Abhishek Bachchan, Varun Grover reveal how they handle selfies, trolls and broccoli
  • Monday, July 16, 2018 It's a Wrap: Soorma star Diljit Dosanjh and Hockey legend Sandeep Singh in conversation with Parul Sharma
  • Monday, July 16, 2018 Watch: Dalit man in Uttar Pradesh defies decades of prejudice by taking out baraat in Thakur-dominated Nizampur village
  • Monday, July 16, 2018 India's water crisis: After govt apathy, Odisha farmer carves out 3-km canal from hills to tackle scarcity in village
  • Sunday, July 15, 2018 Maurizio Sarri, named as new Chelsea manager, is owner Roman Abramovich's latest gamble in quest for 'perfect football'

Also See