Don't expect rates to rise anytime soon. That was the Federal Reserve's message to the market on Wednesday.
 | WED, SEP 16, 2020 | | | | DOW | | NAME | LAST | CHG | %CHG | | AAPL | 112.13 | -3.41 | -2.95% | | INTC | 50.37 | +0.37 | +0.74% | | MSFT | 205.05 | -3.73 | -1.79% | |
| | S&P 500 | | NAME | LAST | CHG | %CHG | | GE | 6.75 | +0.65 | +10.66% | | AAPL | 112.13 | -3.41 | -2.95% | | AAL | 13.80 | +0.66 | +5.02% | |
| | NASDAQ | | NAME | LAST | CHG | %CHG | | AAPL | 112.13 | -3.41 | -2.95% | | AAL | 13.80 | +0.66 | +5.02% | | TSLA | 441.76 | -8.00 | -1.78% | |
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Don't expect rates to rise anytime soon. That was the Federal Reserve's message to the market on Wednesday. Projections from the central bank's policymaking committee showed it expects rates to stay anchored near zero through 2023. "The Committee will aim to achieve inflation moderately above 2 percent for some time so that inflation averages 2 percent over time," the Federal Open Market Committee said in a statement.  Fed Chairman Jerome Powell reiterated the central bank's approach, telling reporters at a news conference: "We expect to maintain an accommodative stance of monetary policy until these outcomes, including maximum employment, are achieved." He also added: "With regard to interest rates, we now indicate that we expect it will be appropriate to maintain the current zero to 0.25% target range for the federal funds rates until labor market conditions have reached levels consistent with the committee's assessments of maximum employment and inflation has risen to 2% and is on track to moderately exceed 2% for some time." Normally, news of easier monetary policy for longer would boost the stock market. However, a decline in major tech names pushed the S&P 500 and Nasdaq Composite lower. It also knocked the Dow off its session high, when it was up 369 points. Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world. |
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