U.S. stocks fall after Fed statement

marketwatch.com ^ | January 27, 2016 | Anora Mahmudova & Sara Sjolin

[John W]

U.S. stocks moved back into the red Wednesday after the Federal Reserve left interest rates unchanged and said "economic growth slowed" since its last meeting in December.

"Inflation is expected to remain low in the near term," the Fed said in new, more cautious language, that suggests the central bank won't be quick to raise interest rates again.

"Lower oil prices and weak global economic growth would make the Fed more cautious about its tightening policy. The second interest rate increase in March has become unlikely," said Jia Liu, research fellow at the American Institute for Economic Research in emailed comments.

Dow industrials, which had turned a 150-point drop to a modest gain earlier in the session, declined again after the announcement.

[BenLurkin]

Not unexpected.

[Obadiah]

Proving once again that they don’t have a clue and are just aimlessly throwing darts at the wall.

[DoughtyOne]

[laplata]

Proving once again that they don’t have a clue and are just aimlessly throwing darts at the wall.

---

And they no longer have any cards to shuffle.

[C210N]

And no chips to place (other than from making new ones).

[laplata]

2016 is going to be one to remember. Or to want to forget about.

[grania]

not unexpected

Interest rates at 0% is not going to rebuild the middle class. How can anyone save for retirement? Add to that, younger generations won't have pensions to the degree their elders did.

[SunkenCiv]

IOW, the gubmint can only act as a hindrance -- for economic growth and full employment, the gubmint has to get out of and stay out of the way.

The Obama Recession

to go with

The Obama Tax Hikes

[Yo-Yo]

Did the Fed announce that they were going to purchase another tranche of T-Bills?

[hattend]

"economic growth slowed" since its last meeting in December.

How does it slow to less than zero? Deflation?

[John W]

Down 222.77(1.38%) 4:29PM EST

[Pelham]

That’s a very big problem you’re pointing to.

[Arthur Wildfire! March]

There never was a republic. Just Weimar-Republic-Lite.

[rollo tomasi]

The “game of darts” starts and stops with government spending, policies, and regulations. The Fed reacts to the mismanagement by those we elect and goes from there.