The Federal Reserve today (Dec. 14) raised interest rates by 0.5 percent to a range of 4.25 percent to 4.5 percent, a sign inflation is finally easing. The rate increase was exactly what investors expected, but the central bank’s gloomy outlook on the U.S. economy next year sent major stock indexes falling after the rate hike announcement.
The Dow Jones Industrial Average fell 400 points, or 1.1 percent, in the afternoon following the Fed’s announcement; the S&P 500 index slid 1.7 percent; and the tech-heavy Nasdaq Composite dropped more than 2 percent.
The Fed lifted its forecasts for both the unemployment rate and inflation in 2013 and projects gross domestic product (GDP) to grow only 0.5 percent next year, the slowest pace since 2009 (with the exception of 2020, the pandemic year). The unemployment rate is expected to rise to 4.6 percent by the end of 2023 from the current 3.7 percent.
Inflation, a primary driver of the Fed’s rate hikes this year, is cooling down—but not as quickly as the central bank previously thought. Consumer prices are expected to rise 5.6 percent this year, up from the Fed’s previous projection of 5.4 percent. By the end of 2023, inflation could further fall to 3.1 percent, but higher than the previously anticipated 2.8 percent.
I called out a ‘mean girl’ mum to her husband at the school gates over our WhatsApp drama – but people say I was ‘harsh’
Battle over SALT deduction heats up amid debate over GOP’s $4 trillion tax bill debate
A Kohl’s board member resigned because she was ‘continually disappointed’ by governance and a lack of transparency. The retailer denies there was any friction
Fed’s Goolsbee says it’s ‘not realistic’ to expect business or central banks to make major decisions
В Москве МакSим снова спела "Знаешь ли ты" для фанатов "Спартака"
Синнер пробился в финал теннисного «Мастерса» в Риме
Ротенберг о поражении «СКА-1946»: «Все только начинается! Ребята молодцы – бились, сражались. Благодарю болельщиков за рекорд посещаемости МХЛ и шикарную поддержку»
«Манчестер Юнайтед» увеличил свою беспроигрышную серию в АПЛ до восьми матчей
17 мая Группа Аквилон приглашает на экскурсию по новостройкам Архангельска
Прокурор Архангельской области и Ненецкого автономного округа и руководитель Следственного управления Следственного комитета Российской Федерации по Архангельской области и Ненецкому автономному округу проведут личный прием граждан в г. Нарьян-Маре
Ольгу Широкову похоронили на Николо-Архангельском кладбище в Москве
Прощание с Ольгой Широковой: Легендарную актрису похоронили в Москве