Dow Jones hits highest on Wednesday Following messages from the Federal Reserve (Fed)It left interest rates unchanged at the last monetary meeting of the year. Additionally, Fed Chairman Jerome Powell also made statements about reducing interest rates in 2024. Markets in the USA responded to these words with a 1.40 percent increase, causing Dow Jones to rise to 37 thousand points. level that the selector has never reached. At the close on the New York Stock Exchange, the S&P 500 index rose 1.37% to 4,707 units. The Nasdaq index, which lists major technology companies, increased by 1.38 percent, reaching 14,734 integers.
The statement made by the Fed on Wednesday after its two-day meeting, which led to great expectations. created enthusiasm among investors and resulted in the Dow index rising more than 500 pointsThus, it exceeded the previous historical maximum of 36,800 points in January 2022. The Federal Reserve will keep interest rates in the 5.25% to 5.5% range for the third consecutive year, opening the door to up to three cuts throughout 2024.
The Federal Open Market Committee (FOMC), the body responsible for deciding on the increases, said it would continue to evaluate complementary economic information and their impact on economic policy. But the median of Fed governors’ forecasts He stated that rates will be 4.6% in 2024 (equivalent to a range of 4.5% to 4.75%), will decrease by one point to 3.6% in 2025, and reach 2.9% in 2026..
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“We think we’re probably at or near the peak rate of this cycle.”Fed Chairman Jerome Powell said at a press conference shortly after the results of the central bank’s last meeting this year were announced. On the other hand, 10-year bond yields fell to 4.024%, while US gold futures rose to $2,041 per ounce.
By sectors, The Greens dominate all sectors, with the biggest gains seen in utilities (3.72%) and real estate (3.58%).. Among 30 Dow Jones stocks, increases in Walgreens (7.41%) and Home Depot (3.06%) were noteworthy, while Verizon (-0.83%) saw the biggest loss. In other markets, Texas crude oil rose to $69.47 per barrel and the dollar depreciated with an exchange rate of 1.0879 against the euro at the close.