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FOMC rate decision: Fed hikes for the first time in three years

Rates hiked by 25 basis points, as expectedPrior was 3.50%-3.75%Unanimous voteThe market was pricing in a 90% chance of a rate hike today. This article was written by Adam Button at investinglive.com.

Why it matters

SPY (SPDR S&P 500 ETF) · Why linked: First Fed rate hike in three years is a landmark monetary policy event affecting all equities Market context: Mixed; rate hike was widely expected so limited surprise, but hawkish signal could pressure valuations

TLT (20+ Year Treasury) · Why linked: First rate hike since pandemic-era cuts directly impacts long-duration bonds Market context: Bearish as rising rates push bond prices lower and yields higher

DXY (US Dollar Index) · Why linked: Fed rate hike supports dollar through higher yield differentials Market context: Bullish as confirmed hike reinforces dollar strength vs. other major currencies

GLD (SPDR Gold Shares) · Why linked: Gold typically reacts to rate hike cycles; higher real rates can pressure gold Market context: Bearish as rising rates increase the opportunity cost of holding non-yielding gold

How SPY, TLT usually react

This story is too recent for its own reaction record — we score each asset against the actual price move 24h after publication. These are the long-run figures across every event we have tracked for them.

AssetEventsAvg max moveClosed lower
SPY10+0.67%70%
TLT9+0.62%67%

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Curated by Newsig — News in. Signal out.
How the reaction data is measured · Editorial policy