FOMC Minutes Hint At Necessity For Another Hike, Highlight Ongoing Inflation Concerns As Energy Prices Rise
Portfolio Pulse from Piero Cingari
The Federal Open Market Committee (FOMC) minutes from September's meeting revealed that a majority of participants believe another increase in the federal funds rate may be necessary due to ongoing inflation concerns, particularly with rising energy prices. The Federal Reserve maintained the federal funds rate target range at 5.25%-5.5% during its September 2023 meeting, but hinted at a possible additional rate hike later in the year. The U.S. dollar rose following the release of the minutes, while the SPDR S&P 500 ETF Trust (NYSE:SPY) fell by 0.3%.
October 11, 2023 | 6:13 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
The SPDR S&P 500 ETF Trust (NYSE:SPY) fell by 0.3% following the release of the FOMC minutes, which hinted at a possible rate hike due to inflation concerns.
The SPDR S&P 500 ETF Trust (NYSE:SPY) is likely to be negatively impacted by the news of a potential rate hike, as higher interest rates can lead to lower stock prices. The ETF fell by 0.3% following the release of the FOMC minutes, indicating that investors are already reacting to the news.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100