U.S. stocks declined on Wednesday afternoon, a day after
the S&P 500 took its biggest hit in more than three weeks, as the
energy sector expanded losses after U.S. crude settled at its lowest
since March 2009.
The Federal Open Market Committee stuck to its vow
to be "patient" on hiking interest rates and raised its view of the
economy and labor market, even as the central bank said it anticipates
inflation to fall further in the near term.
"The Fed did lean towards letting the market know
it's likely to remain accommodative; the real debate is going to take
place in June," Michael Arone, chief investment strategist for State
Street Gobal Advisors' U.S. intermediary business.
Boeing rose after the jet manufacturer and Dow component posted quarterly profit that surpassed estimates.
The CBOE Volatility Index, one measure of investor uncertainty, jumped 19 percent to 20.44.
A day after disappointing reports from multinationals, Apple's stunning results brought temporary relief.
"Apple's results were unapologetically fantastic
and Boeing reported impressive results," said Jim Russell, portfolio
manager at Bahl & Gaynor, referring to the timing of rate hikes by
the central bank.
Read MoreApple just a bit of a respite from currency concerns
"The dollar strength has been in the past a
catalyst for some pretty nasty downturns. A strong dollar in a world
where the global tide is not rising makes it difficult to increase your
slice of the pie," Jack Ablin, chief investment officer at BMO Private
Bank, said.
On Wednesday afternoon, the Federal Reserve
concludes its first two-day policy session of 2015, saying the timing of
rate hikes depends on economic data.
"There is a legitimate case for them to hold off,
and a legitimate case for the middle of the year," Russell said of the
timing of rate hikes by the central bank.
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