Financial Markets Wall Street

U.S. stocks slipped after the Federal Reserve hiked its main interest rate for the first time in three years and suggested more increases may be ahead as it tries to get the nation’s high inflation under control. The S&P 500 fell 0.4% Wednesday after giving up a modest gain from earlier in the day. The Dow Jones Industrial Average dropped 1.2%, and the Nasdaq composite was nearly unchanged after edging down by less than 0.1%. Stocks turned lower after the Fed's chairman said repeatedly in a press conference that inflation remains too high and the U.S. economy appears to be strengthening.

Asian shares are mixed after Wall Street closed lower following the Federal Reserve’s interest rate hike decision for the first time in three years. But U.S. futures are higher. The quarter of a percentage point increase brings the Fed’s key rate to a target range of 3.75%-4%, as it attempts to control U.S. inflation that’s been stubbornly above its target. Oil prices stabilized as the closure of a key Saudi Arabia oil pipeline puts pressure on supply. On Wednesday, Wall Street's benchmark S&P 500 dropped 0.5%. The Dow Jones Industrial Average fell 1.2%, and the technology-heavy Nasdaq composite was mostly unchanged.