Dow ends up over 400 points, Nasdaq soars 4% as stocks rally after Fed rate hike
U.S. stocks closed sharply higher Wednesday, greeting the Federal Reserve's latest...
U.S. stocks closed sharply higher Wednesday, greeting the Federal Reserve's latest rate hike with a torrid advance that saw the tech-heavy Nasdaq Composite clinch its biggest daily gain since April 2020. The Nasdaq Composite gained 469.85 points, or 4.1%, to 12,032.42. The S&P 500 gained 102.56 points, or 2.6%, To 4,023.61. The Dow Jones Industrial Average gained 436.05 points, or 1.4%, to 32,197.59. Wednesday's gains also marked the biggest rally on a Fed decision day since December 2008, the day the Fed slashed its benchmark interest rate target to between 0% and 0.25% for the first time in history. The Fed's policy-setting committee voted Wednesday to hike the Fed funds rate target 75 basis points for the second month in a row.
MarketWatch: U.S. oil prices settle at their highest in a week
Oil futures climbed...
Oil futures climbed on Wednesday, with U.S. prices marking their highest settlement in a week. There's "no other way to look at energy prices today and not have a bullish outlook," said Tariq Zahir, managing member at Tyche Capital Advisors. The Energy Information Administration reported much larger inventory draws across the board, he said, with U.S. crude, gasoline and distillate supplies all down last week. "We do feel we could see crude regain the $100 level in the days and weeks to come," said Zahir. September West Texas Intermediate crudeCLU22, 2.95%rose $2.28, or 2.4%, to settle at $97.26 a barrel on the New York Mercantile Exchange. That was the highest front-month finish since July 20, FactSet data show.
The Federal Reserve pushes interest rates three-quarters of a point higher
The Federal Reserve on Wednesday raised a key U.S. interest rate for the fourth time this year in an...
The Federal Reserve on Wednesday raised a key U.S. interest rate for the fourth time this year in an aggressive bid to cool off the hottest inflation in four decades, signaling more rate hikes are coming even as the economy softens.
The central bank voted unanimously to lift the so-called fed funds rate by another 0.75 percentage points to a range of 2.25% and 2.5%. Higher rates raise the cost of borrowing for businesses and consumers and tend to slow the economy.
The speed of interest rate hikes this year is the fastest since 1981. The Fed had kept rates pinned close to zero since the pandemic to cushion the shock to the economy. The level of rates now matches the peak in the 2016-2018 tightening cycle. It brings the benchmark rate into territory the Fed considers neutral — neither boosting nor slowing the economy.
EU agrees on emergency gas plan to cut consumption by 15% amid fears Russia could cut off supply
The Council of the European Union (EU) on Tuesday approved an emergency plan to voluntarily cut gas consumption...
The Council of the European Union (EU) on Tuesday approved an emergency plan to voluntarily cut gas consumption by 15% this winter, as concerns grow about Russia slashing supplies.
The agreement will allow the EU to save on gas during the winter in the event that Russia decides to turn off the taps in retaliation for Western sanctions after its invasion of Ukraine, the council said in a statement. The 15% gas cut was first proposed last week.
