- Stocks and US equity futures rose after Fed's Powell said that large interest-rate hikes will be rare following the Fed's largest increase in borrowing costs since 1994.
- An Asian share index gained less than 1%, led by Japan, with Hong Kong and China fluctuating. US contracts rose about 0.5% following a Wall Street rally that halted the S&P 500's five-day, 10% decline.
- Treasury yields fell during the Wall Street session as traders reduced their bets on the Fed tightening next month, implying that a three-quarter point move is no longer fully priced in. However, the notes reversed a portion of that move on Thursday in Asia, bringing the two-year yield back to 3.30%.
- The Federal Reserve raised interest rates by 75 basis points on Wednesday, ratcheting up the fight against inflation. Powell hinted at another rate hike in July, but added, "today's 75 basis-point increase is unusually large, and I do not expect moves of this magnitude to be common." This mitigates the risk of a string of jumbo moves.
- The dollar index rose, while the yen fell. Cryptocurrencies have advanced as a result of recent market stress caused by tightening financial conditions.
