AM Report 14 June 18: Fed hiked rates and says economy in good shape, but markets close lower.

US blue-chip shares eased on Wednesday as investors reacted to a modestly "hawkish" Federal Reserve rate decision. The Fed lifted the federal funds target rate by a quarter per cent to the 1.75-2.00% range as expected. Seven policymakers expect three or fewer rate hikes in 2018 and eight now expect four or more rate hikes this year. Investors also reacted to the news that AT&T Inc had won court approval to buy Time Warner Inc for US$85 billion. Shares in AT&T fell by 6.2% and Time Warner rose 1.8%. Twenty-First Century Fox rose 7.5% on takeover speculation.  The Dow fell by 120 points or 0.5% while the Nasdaq lost just 8 points.

 

Hello All,

Feel free to download and disseminate on your radio stations.

Kind Regards,

The CommSec Media Team

This report is approved and distributed in Australia by Commonwealth Securities Limited ABN 60 067 254 399, AFSL 238814 (CommSec) a wholly owned but non-guaranteed subsidiary of Commonwealth Bank of Australia ABN 48 123 123 124, AFSL 234945 (the Bank). The Bank and its subsidiaries have effected or may effect transactions for their own account in any investments or related investments referred to in this report. This report is not a recommendation to buy, sell or hold any securities or financial products, and has been prepared without taking account of the objectives, financial or taxation situation or needs of any particular individual. For this reason, any individual should, before acting on the information in this report, consider the appropriateness of the information, having regard to the individual's objectives, financial or taxation situation and needs and, if necessary, seek appropriate professional advice. This report is produced by Commonwealth Research based on information available at the time of publishing. We believe that the information in this correspondence is correct and any opinions, conclusions or recommendations are reasonably held or made as at the time of its compilation, but no warranty is made as to accuracy, reliability or completeness. To the extent permitted by law, neither the Bank nor any of its subsidiaries accept liability to any person for loss or damage arising from the use of this report.