On Thursday, European stocks are down about 1% after the announcement of the results of the meeting of the US Federal Reserve System. The head of the regulator, Jerome Powell, signaled an interest rate increase in March and further constant tightening of policy to combat rising inflation. In particular, the pan-European STOXX 600 index fell 0.9% to 460.46 points, while almost all regional markets and sectors were in the red. Technology sector stocks showed the strongest decline. The two-day meeting of the US Federal Reserve ended yesterday, and the central bank made it clear that it is likely to raise interest rates in March. Moreover, the regulator confirmed plans to stop buying bonds in the same month before starting a significant reduction in the balance of assets. Powell also stressed that the Fed will analyze all incoming information, adjusting monetary policy. After the announcement of the results of the meeting, the yield of two-year US Treasury bonds, which reflects interest rate expectations, rose to a 23-month high at the beginning of Asian trading. And the US dollar index, which tracks its exchange rate against a basket of other currencies, rose 0.97% to 96.95.
PAUTAN SEGERA