Hawkish Fed Drives Bank Stocks Higher

US stocks end mostly flat

US stocks end mostly flat

Weakness in the telecom services and consumer staples sectors pushed the market lower. The spike in yields drove up bank shares and other financial market-related shares.

This week, the S&P 500 started with improved market sentiment amid decreased geopolitical concerns and high expectations of a hawkish tone by Fed officials in the FOMC meeting.

United States stocks fell after the Federal Reserve said it would start to trim bond holdings in October, but they pared losses by the end of Wednesday.

On Wednesday, the Fed left its benchmark interest rate unchanged at 1.25 percent, however, its updated interest rate forecast surprised traders by indicating that another rate hike was likely before the end of the year.

While some investors said the Fed's tone was more hawkish than expected others were happy Fed Chair Janet Yellen reiterated her stance that balance sheet reduction would be data dependent. The market pulled back on Thursday as market participants digested the Fed's statement. Technology was lower for the day with the S&P 500 technology sector down -0.45%. On the economic data front, according to the U.S. Department of Labor, the United States initial jobless claims fell to 259,000, which is less than the forecast of 300,000. The CBOE Volatility Index (or VIX) measures uncertainty in the market.

Finally, the S&P 500 includes 500 stocks, and is a good representative mix of the industries that make up the overall market.

Apple weighed on the tech-focused Nasdaq index, which fell 5.28 points or 0.08% to 6,456.04.

"Armenpress" reports the value of Dow Jones up by 0.19% to 22412.59 points, S&P 500 up by 0.06% to 2508.24 points, Nasdaq down by 0.08% to 6456.04 points. For the week, the Dow rose 0.4%, the S&P rose 0.1%, and the Nasdaq fell 0.3%.

In the next part, we'll discuss the S&P 500's top gainers on September 21.

Recommended News

  • Iran Commander Calls for 'Painful Response' Against US After Trump's UN Speech

    Senior Iranian cleric Kazem Seddiqi addresses worshippers during weekly Friday Prayers in Tehran on September 22, 2017. Ayatollah Khamenei made the comments in a meeting with members of Iran's Assembly of Experts in Tehran on Thursday.
    Tesla reportedly partners with AMD to build chips for self-driving vehicles

    Tesla reportedly partners with AMD to build chips for self-driving vehicles

    Notably Tesla is not working with Intel , which has enjoyed a long working relationship with Alphabet's Waymo auto group. Tesla CEO Elon Musk has said it has been a "tough slog" transitioning from the reliance on Mobileye's vision chips.

    Iran Foreign Minister: If US Wants New Nuclear Concessions, We Do Too

    What the administration really wanted, Zarif said, was to keep the Iranian concessions while trying to extract more from Iran. The theme is consistent with Trump's "America First" philosophy that helped him win election past year .
  • Trump Lashes Out at GOP Opponents of Health Care Bill

    Trump Lashes Out at GOP Opponents of Health Care Bill

    McCain's move raises serious questions about whether Republicans have the votes to pass the latest repeal bill, authored by Sens. Murkowski was one of three Republicans who voted against the GOP's last attempted Obamacare repeal in July. "I don't know Mr.
    Cuomo to Travel to Puerto Rico to Assist Recovery Efforts

    Cuomo to Travel to Puerto Rico to Assist Recovery Efforts

    Andrew Cuomo is in Puerto Rico today assessing damage after Hurricane Maria and bringing some initial supplies to the country. Maria has delayed the deployment of 130 New York National Guardsmen and state troopers to the USVI.
    Walmart tests grocery service that would place items into the fridge

    Walmart tests grocery service that would place items into the fridge

    The delivery person is given a one-time code to open the door and customers get an alert on their smartphones when someone enters. While this is only a test for now, Walmart suggested it is likely to roll this out further if it takes with customers.
  • Russian Federation  and China urge 'peaceful' solution with North Korea

    Russian Federation and China urge 'peaceful' solution with North Korea

    Even as tensions rise, the United States and its allies have stuck to a hands-off policy when North Korea test-fires its missiles. But, he said , any future missile launch that threatens USA or Japanese territory will "elicit a different response from us".
    Democrats in Congress brace for new Iran nuclear fight

    Democrats in Congress brace for new Iran nuclear fight

    It is noted that at the meeting the latest report by Yukiya Amano, head of the International Atomic Energy Agency, was considered. Tillerson said that while Iran might be meeting its obligations to the letter of the deal, it is violating its spirit.
    Finish Line Q2 Sales & Profit Fall Short

    Finish Line Q2 Sales & Profit Fall Short

    The current share price indicates that stock is -62.37% away from its one year high and is moving 33.62% ahead of its 52-week low. Jefferies reiterated a "buy" recommendation and fixed a $19.00 target price on stock of Finish Line in a note on Fri, Jun 9th.
  • Find and watch movies with 4K, HDR, or Dolby Vision

    Find and watch movies with 4K, HDR, or Dolby Vision

    Users can subscribe and sign into their favourite services, and titles are synced and streamed across Apple TV, iPhone, and iPad. The Apple TV 4K is not compatible with #Dolby Atmos surround sound format, which is a must-have for modern home theaters.
    Trump to dive into Senate runoff in Alabama

    Trump to dive into Senate runoff in Alabama

    The president and other party leaders have endorsed Sen. "The president supports me", odd said in his opening remarks. If he can win there, he will face Democrat Doug Jones .
    Bali on alert amid fears Mount Agung volcano will erupt

    Bali on alert amid fears Mount Agung volcano will erupt

    The volcano, which dominates the skyline of the island and is popular with tourists, last erupted in 1963, when 1,148 people died. More than 7,000 of the evacuees were in the 325-square-mile Karangasem district, which is home to about 408,000 people.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.