as was widely expected but signalled that it could raise rates by another half percentage point by year-end.
Trading was choppy after the news with the MSCI's gauge of stocks across the globe falling by as much as 0.34 per cent after the Fed statement but then regaining lost ground while Fed Chair Jerome Powell took questions from reporters. It closed up 0.24 per cent. Krosby said it was likely that Powell's stance that bringing down inflation to the Fed's 2% trader would not"require weakening the labor market dramatically" reassured investors.
He said"the market realizes that the Fed is getting close to the end of the tightening cycle" and added that since the Fed has hiked rates so much already Wednesday's announcement is"not as hawkish as this might have appeared when they were starting up."
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