Global stocks reach record high ahead of expected US Fed interest-rate increase
New York — Stocks globally reached a record high on Wednesday ahead of a widely expected interest rate increase by the US Federal Reserve, while US Treasury yields fell on disappointing inflation data. MSCI’s gauge of stocks across the globe also rose to a record high, gaining 0.31%. The Fed is expected to raise rates to between 1.25% and 1.5% during a two-day policy meeting ending on Wednesday. The central bank might also comment on how the Trump administration’s tax overhaul could affect the US economy. "I suspect that [the Fed] will probably elaborate on the tax cuts and future spending of the infrastructure and how they will relate to future inflation," said Peter Cardillo, chief market economist at First Standard Financial in New York. Wall Street indices advanced, with the S&P 500 and the Dow reaching record highs as technology stocks gained. Western Digital rose 2.83% after the data storage device company agreed to settle a dispute with Toshiba. The Dow Jones Industrial Avera...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.