The Fed Held Rates at 3.5%-3.75%. Here's What That Means for Walmart, Costco, and Target.
The Fed held rates steady, but it might not last for long.
Overview
The Fed chose to hold benchmark interest rates steady on Wednesday at 3.5%-3.75%.
The stock market initially cheered the decision as the S&P 500 popped when it was announced, and climbed through the first half of Fed Chair Kevin Warsh’s comments. However, it then shifted around 3:00 p.m. as 30-year treasury yields spiked, a sign that investors seemed unsatisfied with Warsh’s plans to fight inflation.
Details
Investors still see a greater than 50% chance that the Fed will hike rates by 25 basis points in September, according to the CME FedWatch tool, and Warsh reiterated his commitment to price stability and bringing inflation down to its target of 2%.
Source
Originally published at www.fool.com.
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