- Stocks fell as investors worried about the prospect of more Federal Reserve interest-rate hikes, which would stifle economic growth even if the pace of tightening slowed.
- An Asian share index rose slightly more than 0.5%, with performance mixed across Japan, China, and Hong Kong, and less than the 2.6% rise in the S&P 500 and the 4.3% rise in the Nasdaq 100 on Wednesday. US equity futures fell.
- The Fed raised interest rates by 75 bps for the second month in a row, saying such a move is still possible and reiterating its commitment to fighting inflation. However, Fed's Powell added that the pace of hikes will eventually slow and that the Fed will set policy meeting by meeting, avoiding explicit guidance on hike increments.
- Treasuries rose, bringing the 10-year yield down to 2.76%. Swaps based on Fed policy meeting dates imply a 3.3% peak for the fed funds rate around the end of the year, which is not much higher than the current range of 2.25% to 2.5%.
- In the aftermath of the Fed decision, the yen gained 1% against the dollar. Oil rose toward $99 per barrel, gold rose slightly, and bitcoin remained stable.
