Stocks close lower after Fed hikes rates

Traders work on the floor of the New York Stock Exchange shortly after the opening bell in New York U.S

The Federal Reserve raised benchmark USA interest rates by 0.25 percentage point, as expected, at the conclusion of a two-day policy meeting and said growth in the US economy continues to look strong.

The central bank, as widely expected, raised interest rates by 25 basis points and forecast at least two more hikes for 2018, signaling growing confidence that United States tax cuts and government spending will boost the economy and inflation, which may lead to more aggressive tightening in the future. "But with bond yields going up in anticipation of more hikes., that kind of scared the stock market again". Names sensitive to higher rates such as utilities.SPLRCU, down 0.39 percent, and real estate.SPLRCR, off 0.93 percent, were under pressure.

The energy index gained 2.5 percent, mirroring a jump in crude oil prices that hit a six-week high after a surprise decline in USA inventories and as concern persisted over possible disruption to Middle East supply.

The yield on 10-year Treasuries was up at nearly 2.89 percent, 6 basis points below the four-year high of 2.957 percent touched a month ago.

The Fed bets kept long-term United States bond yields edging higher, with short-dated yields up too.

The stock has fallen about 9 percent over the past two sessions, its biggest two-day decline since February 2016, a drop that has weighed heavily on equities. Crude oil prices hit a six-week high after a surprise decline in US inventories and as concern persisted over possible disruption to Middle East supply. "Now let's see what the market can do - can it stand on its own two legs?" said Saluzzi, referring to the low interest rate environment the Fed put into effect after the financial crisis.

How Much Could Trump's Multibillion Tariffs Really Cost China?
He warned that USA apple growers are going to "get hurt in a fight we didn't start and in which we have no interest". The best part about a WTO ruling is that it would affect all of China's exports, not just those to the U.S.

The Dow Jones Industrial Average rose 190.7 points, or 0.77 percent, to 24,917.97, the S&P 500 gained 15.12 points, or 0.56 percent, to 2,732.06 and the Nasdaq Composite added 30.91 points, or 0.42 percent, to 7,395.21.

The company chief executive, Mark Zuckerberg, said Facebook "made mistakes" in a statement.

Shares of General Mills Inc plunged 8.9% after earnings and outlook of the company was below investor's expectations.

Southwest Airlines (LUV.N) fell 4.79 percent after the carrier cut its forecast for a key revenue metric. Other airlines also fell, with the Dow Jones Airlines index was down 3.4 percent.

Volume on US exchanges was 6.26 billion shares, compared with the 7.17 billion average for the full session over the last 20 trading days.

Advancing issues outnumbered decliners on the NYSE for a 1.86-to-1 ratio and for a 2.01-to-1 ratio, on the Nasdaq.

Related news:

Hot News

isis-killer-beheading-video-story-top Organizers hope to draw half a million to gun control rally
Mar 25, 2018 - 01:43
The Toronto protest coincided with at least 16 rallies planned in other Canadian cities, from coast-to-coast. One way is by channeling the current energy into the midterm congressional elections this fall.

isis-killer-beheading-video-story-top Mastermind Toys will open 3 new stores now, 10 by 2019
Mar 25, 2018 - 01:42
The iconic toy giant announced last week that it will shut or sell all of its 735 United States stores after a 70-year run. Bain Capital, KKR & Co. and Vornado Realty Trust took over Toys "R" Us in a $7.5 billion leveraged buyout in 2005.

isis-killer-beheading-video-story-top Curry to get MRI on knee after leaving game
Mar 24, 2018 - 16:46
The incident occurred when teammate JaVale McGee elevated for a block attempt and ended up falling on the left leg of Curry. After playing only 26 games during the 2011-12 season, Curry has made at least 78 starts in each of his last five seasons.

isis-killer-beheading-video-story-top Donald Trump removes NSA McMaster, replaces him with John Bolton
Mar 24, 2018 - 16:45
Bush, is likely to herald a rightward shift in Trump's foreign policy and an embrace of more hard-line policies. In a statement released by the White House, McMaster said he would be requesting retirement from the U.S.

isis-killer-beheading-video-story-top Cynthia Nixon: 'Sometimes a little naïveté is exactly what is needed'
Mar 24, 2018 - 16:45
Simple and to the point, and not directly addressing Cynthia at all, but still, Kim is showing her love in her own way. Cattrall also did not call Nixon her friend and instead referred to her as a "colleague".

isis-killer-beheading-video-story-top $1 Billion Worth of Arms Sales to Saudi Arabia Approved by Washington
Mar 24, 2018 - 16:44
The coalition used a GBU-12 laser-guided bomb, weighing 500 pounds, manufactured in the USA by Lockheed, according to Amnesty. The rights group documented violations of global law by all warring parties, including the Iran-backed Houthi rebels.

isis-killer-beheading-video-story-top Amnesty International USA joins March for Our Lives Against Gun Violence
Mar 24, 2018 - 16:43
Seven percent overall said the march would hurt the cause; 12 percent of Republicans, 7 percent of independents and 3 percent of Democrats agreed, along with 10 percent of gun owners.

isis-killer-beheading-video-story-top United actually offered someone a $10000 voucher for giving up her seat
Mar 24, 2018 - 16:43
United couldn't board her because a seat broke on the plane, according to Preiss, and no one volunteered to give up a seat. But when she got on the flight, she found out it was oversold. "They are kicking me off this flight", she tweeted .

isis-killer-beheading-video-story-top China unveils list of potential retaliatory tariffs on U.S. goods
Mar 24, 2018 - 16:43
USA electric carmaker Tesla Inc is in long-running talks with Shanghai authorities to build a local manufacturing plant in the city.

isis-killer-beheading-video-story-top Rain ruins day three in Auckland
Mar 24, 2018 - 16:42
They still maintain firm control of the day-night Test, having bowled England out for 58 on the first morning. Thorpe said: "You're playing for your country and you get rocked over like that - it dents your pride".

isis-killer-beheading-video-story-top Missing Iowa Family Found Dead During Mexican Vacation
Mar 24, 2018 - 16:41
Just after midnight on Friday, Kevin and Amy Sharp along with their children Adrianna and Sterling were reported as missing. Ms Hoyt said the family were normally active Facebook users and it wasn't like them not to post pictures when on holiday.

isis-killer-beheading-video-story-top Cindy Hyde-Smith Gets Appointment to Mississippi Senate Seat
Mar 24, 2018 - 16:34
Senator Roger Wicker's office released a statement following the announcement commending the Governor's selection. And that would leave Vermont as the lone state in the union to have never sent a female lawmaker to Washington .

isis-killer-beheading-video-story-top Trump Ignores Advisers, Congratulates Putin on Election 'Win'
Mar 22, 2018 - 02:29
Trump's overture to Putin was criticized by top senators in his own Republican party, who called Sunday's election a sham . What he did in Georgia, what he did in Ukraine, what he did in the Baltics, in London.That's a criminal activity.

isis-killer-beheading-video-story-top FA Cup semi-final dates, TV and kick-off times revealed
Mar 22, 2018 - 02:26
He told Sky Sports : "I think if Mourinho is still there then it is inevitable Shaw will leave this summer ". They were on a 15-game unbeaten run there before the recent UEFA Champions League defeat to Juventus .

isis-killer-beheading-video-story-top Statement by Tadamichi Yamamoto on attack today in Kabul
Mar 22, 2018 - 02:24
An investigation into the security breach was under way, and that anyone found to have neglected his duties would be punished. Nawruz is extensively celebrated in Afghanistan by Shiite people by typically visiting the shrines.