Stocks rose Wednesday after the Federal Reserve held interest rates steady at a 23-year high and maintained its forecast of three cuts before the end of 2024.
Standard & Poor's 500 and Nasdaq Composite It rose 0.2% and 0.3%, respectively. the Dow Jones Industrial Average He added 80 points or 0.2%.
The Fed left interest rates unchanged but said it plans to cut interest rates three times before the end of the year, confirming its previous forecast last updated in December. However, the central bank has indicated that it needs greater evidence that inflation is falling to initiate those cuts.
“The committee does not expect that it would be appropriate to lower the target range until it gains greater confidence that inflation is moving sustainably towards 2 percent,” the central bank said.
Before the meeting, some investors feared that the latest wave of hot inflation reports could lead to smaller cuts than markets had expected.
Financial stocks rose after the Fed's decision on hopes that lowering interest rates this year will keep the economy growing. American Express He added more than 1%, instead SPDR S&P Regional Banking Fund It rose 1.3% as regional bank stocks rose.
Investors watched Federal Reserve Chairman Jerome Powell's press conference for more information on the economy, inflation and the future path of cuts.
And in another new one Chipotle Mexican Grill rose more than 3% after the stock split was announced, while Ring jewelry It fell 11% after releasing disappointing first-quarter revenue guidance.
