Fed minutes released Wednesday showed officials are ready to move forward with several 50 basis point interest rate hikes. The Federal Open Market Committee also said the policy may need to move away from “neutral” territory and into “restrictive” territory.
Stocks on Wall Street rose after the release of Fed minutes, with the S&P 500 climbing about 0.95% to 3,978.73. The Dow Jones Industrial Average advanced 191.66 points, or 0.6%, to 32,120.28. The tech-heavy Nasdaq Composite jumped 1.51% to 11,434.74.
“The FOMC minutes revealed broad consensus on the need to tighten the policy rate by 50 basis points over the next two meetings,” National Australia Bank’s Rodrigo Catril wrote in a Thursday note.
“The market found some relief as the minutes showed broad consensus for 50 basis point hikes in June and July and the possibility of a break later in the year,” Catril said. .
The Japanese yen was trading at 127.19 to the dollar, weaker than levels below 126.9 seen against the greenback earlier this week. The Australian dollar was at $0.7096 after a recent rebound from levels below $0.708.
— CNBC’s Jeff Cox contributed to this report.