European stock markets were mixed on Wednesday following recent strong gains as investors digested the historic debt reforms in Germany and assessed regional inflation data ahead of the latest Federal Reserve policy-setting meeting. The DAX index in Germany dropped 0.4% on Wednesday. However, the FTSE 100 in the UK climbed 0.1%, while the CAC 40 in France gained 0.7%. German debt vote passes Germany's lower house of parliament, the Bundestag, voted in favor of several changes to the country's constitution that would allow for a loosening in fiscal rules and pave the way for new investments...
The Federal Reserve in a closely watched decision Wednesday held the line on benchmark interest rates though still indicated that reductions are likely later in the year. Faced with pressing concerns over the impact tariffs will have on a slowing economy, the rate-setting Federal Open Market Committee kept its key borrowing rate targeted in a range between 4.25%-4.5%, where it has been since December. Markets had been pricing in virtually zero chance of a move at this week's two-day policy meeting. Along with the decision, officials updated their rate and economic projections for this year...
Stocks rallied on Wednesday, with the S&P 500 clawing back more of the rout since late February that took the benchmark briefly into correction territory, as the Federal Reserve forecast it would still cut interest rates two times in 2025. The Dow Jones Industrial Average climbed 383.32 points, or 0.92%, and closed at 41,964.63. The S&P 500 jumped 1.08% to end at 5,675.29, and the Nasdaq Composite advanced 1.41% to settle at 17,750.79. The central bank kept the federal funds rate at a range of 4.25% to 4.5%, a decision that was widely expected. That said, the Fed kept its outlook...