- The Federal Reserve raised interest rates by 25 basis points, as expected, and signaled further tightening remains possible before the end of 2026.
- Fed Chair Kevin Warsh's press conference was described as "net hawkish" by analysts at Vital Knowledge, reinforcing expectations for higher rates.
- The two-year US Treasury yield reached its highest level since July 2024 following the announcement.
- The Fed removed earlier language attributing persistent inflation partly to supply shocks and specific sectors, instead describing inflation as "elevated".
- US stock futures advanced, with Dow futures up 366 points, S&P 500 futures up 52 points, and Nasdaq 100 futures up 215 points.
- Brent crude futures fell but remained above $100 per barrel, a level reached earlier in September.
Quotes
“The change emphasizes that the committee is committed to the inflation target and won't make excuses for missing it.”
“net hawkish”
“elevated”