The fed monetary policy committee planned to continue raising rates until they were above 5% in 2023, a level not seen since the deep economic recession of 2007.
Participants in the money market are waiting currently at least two 25 basis point rate hikes next year and for borrowing costs to peak at 4.9% in the first half, before falling to around 4.4% by the end of the year.
The major wall street indices they have staged a strong recovery since hitting 2022 lows in October in the hope of a less aggressive Fed, but the rally stalled in December due to mixed economic data and worrying business forecasts.
Investors were also scrutinizing economic data on Thursday that showed a steeper-than-expected decline in retail sales in november and one drop in the number of Americans filing for unemployment benefits last week, indicating a tight labor market.
The Nasdaq sinks almost 3.4%, while the Dow Jones falls 2.7% while the S&P 500 loses 2.8%.
The Top 11 S&P 500 Sectors they were in numbers redswith communication services and technology stocks falling more than 2% and enduring the greatest selling pressure.
The actions of the large companies willnsible to rate hikes fell. Apple Inc, Amazon.com Inc and Microsoft Corp lost between 1% and 3%.
Source: Ambito
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