Investors keep power dry ahead of Fed, crude jumps – Reuters.com


Fed raises rates by 50 basis pointsCrude bounces as EU proposes Russia oil embargo10-year Treasury yields slip; Dollar falls, euro gainsNEW YORK, May 4 (Reuters) – U.S. stocks rallied and Treasury yields fell on Wednesday after the Federal Reserve raised interest rates by 50 basis points as expected and said it would begin to lower its balance sheet in June in a choice seen as less hawkish than some feared.The U.S. central bank set its federal funds rate to a variety in between 0.75% and 1% in a consentaneous decision that gave the benchmark over night rate its biggest bump in 22 years. At best, they desire to go slower or lower than what the market was rates,” he said.The dollar index fell 0.86% and the euro rose 0.89% to $1.0614, while the yield on 10-year Treasury notes fell 3.1 basis points to 2.927%. Previously, U.S. gold futures settled down 0.1% at $1,868.8 an ounce.The global monetary tightening up cycle has reached a symbolic milestone, with yields on German, British and U.S. 10-year federal government debt topping 1%, 2% and 3% respectively, levels not seen in years. That in turn has raised borrowing expenses for services and households.The Bank of England is expected to raise British rates on Thursday by a quarter of a percentage point, which would be its fourth walking in a row to stop surging prices.US dollar and treasuryThe Aussie dollar gained as much as 1.3%, and regional shares fell, after the Australian main banks bigger-than-expected 25 basis-point rate boost on Tuesday.Bitcoin rose 5.68% to $39,871.90 after earlier trading lower.Europes natural gas imports from RussiaRegister now for FREE limitless access to Reuters.comRegisterReporting by Herbert Lash in New York

Fed raises rates by 50 basis pointsCrude bounces as EU proposes Russia oil embargo10-year Treasury yields slip; Dollar falls, euro gainsNEW YORK, May 4 (Reuters) – U.S. stocks rallied and Treasury yields fell on Wednesday after the Federal Reserve raised interest rates by 50 basis points as expected and said it would start to lower its balance sheet in June in a decision seen as less hawkish than some feared.The U.S. central bank set its federal funds rate to a range between 0.75% and 1% in a consentaneous decision that gave the benchmark over night rate its most significant bump in 22 years. At best, they want to go slower or lower than what the market was pricing,” he said.The dollar index fell 0.86% and the euro increased 0.89% to $1.0614, while the yield on 10-year Treasury notes fell 3.1 basis points to 2.927%. Previously, U.S. gold futures settled down 0.1% at $1,868.8 an ounce.The global financial tightening cycle has reached a symbolic turning point, with yields on German, British and U.S. 10-year government financial obligation topping 1%, 2% and 3% respectively, levels not seen in years.
Additional reporting by Saqib Ahmed and Chuck Mikolajczak in New York and Huw Jones in London
Modifying by Alex Richardson and Matthew LewisOur Standards: The Thomson Reuters Trust Principles.


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