Federal Reserve Chairman Jerome Powell makes comments on a screen as a trader works on the trading floor at the New York Stock Exchange (NYSE) in New York City, December 15, 2021 .
Andrew Kelly | Reuters
U.S. stock futures were slightly higher on Wednesday night after the Federal Reserve signaled it would active in descending and seeing three rate hikes in 2022.
Dow Jones Industrial Average futures rose 0.19%. Futures for the S&P 500 and Nasdaq 100 were up 0.23% and 0.3%, respectively.
Shares traded in the negative territory during Wednesday’s regular session and edged higher ahead of Fed Chairman Jerome Powell’s press conference in the afternoon at the conclusion of the Federal Open Market Committee’s two-day meeting. . The Dow added 383 points, or 1.08%. The S&P 500 gained 1.63% and the tech-heavy Nasdaq Composite added 2.15%.
“It looks like the Fed successfully delivered this news ahead of time, and although the stock market edged higher in the press conference, the market-leading sectors were higher (like utilities and healthcare).” are all very defensive sectors and show some concern about what Chris Zaccarelli, Chief Investment Officer at Independent Advisor Alliance, said about the future of the economy.
Healthcare stocks UnitedHealth and Amgen rallied on Wednesday, up 3.1% and 2.6%, respectively.
The Fed will begin slowing its asset purchases in January and buy only $60 billion in bonds each month going forward, compared with $90 billion in December. That decision follows recent inflation data for saw a 6.8% increase in November, which is higher than expected and the fastest since 1982.
“The notion that higher inflation would be temporary has finally been thrown out the window by the Fed, and the latest policy adjustments reflect a committee’s unwillingness to give up,” said Charlie Ripley, senior policymaker. missed the next train leaving the station.” Investment strategist at Allianz Investment Management.
More economic data will be released on Thursday, including the start of housing and jobless claims at 8:30 a.m. EST.
Adobe and Voice mark scheduled to report quarterly earnings before the opening bell. FedEx and Rivian will be notified after the bell rings.
