New York Stock Exchange Rises with Fed Decision and Falling Oil Prices
U.S. equity markets recovered and finished the day higher, supported by falling oil prices following the interest rate hike.
The New York stock market, which came under selling pressure following the U.S. Federal Reserve's interest rate hike, recovered and closed the day higher under the influence of falling oil prices.
Closing Values of the Indices
At the close, the Dow Jones index increased by 0.61 percent to reach 51,778.04 points, keeping pace with the general recovery trend in the markets.
The S&P 500 index rose by 1.14 percent to 7,637.76 points, and the Nasdaq index gained 1.69 percent to rise to 26,418.30 points.
Impact of the Fed's Decision on the Market
The U.S. Federal Reserve's (Fed) interest rate hike after a three-year hiatus caused volatility in the markets.
Analysts stated that yesterday's interest rate hike demonstrated the Fed's determination to curb inflation, giving confidence to investors.
Developments in Oil Prices
With concerns regarding oil supply easing, the futures price of Brent crude oil decreased by 1.6 percent to retreat to the $104.13 level.
At the same time, West Texas Intermediate crude oil found buyers at $101.29 per barrel, down 1.1 percent.
Fuel Prices and Bonds
According to American Automobile Association data, the average price of diesel per gallon in the U.S. set a record at approximately $6.40.
The yield on the U.S. 10-year Treasury bond fell by 7 basis points to 4.93 percent.
Unemployment Claims
On the macroeconomic data side, the number of first-time jobless claims in the U.S. recorded a decline.
The aforementioned number of claims fell to 196,000 in the week ending September 12, coming in below market expectations.