U.S. stocks rallied to record highs on Wednesday after the Federal Reserve, in a surprise to markets, decided against scaling back a stimulus program that has helped fuel Wall Street's rally of more than 20 percent this year.
While equities jumped on the Fed's decision, questions remained how long the rally would last as the central bank expressed concerns about the economy's future growth with likely budget and debt limit battles in Washington to come.
"From a short-term stock market perspective it can be seen as a good thing because the market likes to see continued Fed stimulus. From a real economy standpoint, what it says is the Fed is actually more nervous about the economy than is generally perceived."
The Dow Jones industrial average rose 147.21 points or 0.95 percent, to 15,676.94, the S&P 500 gained 20.76 points or 1.22 percent, to 1,725.52 and the Nasdaq Composite .added 37.942 points or 1.01 percent, to 3,783.641.
About 580 stocks on the NYSE and Nasdaq hit new 52-week highs on Wednesday. About 325 of them hit their highs after the Fed announcement.
Source: Reuters
While equities jumped on the Fed's decision, questions remained how long the rally would last as the central bank expressed concerns about the economy's future growth with likely budget and debt limit battles in Washington to come.
"From a short-term stock market perspective it can be seen as a good thing because the market likes to see continued Fed stimulus. From a real economy standpoint, what it says is the Fed is actually more nervous about the economy than is generally perceived."
The Dow Jones industrial average rose 147.21 points or 0.95 percent, to 15,676.94, the S&P 500 gained 20.76 points or 1.22 percent, to 1,725.52 and the Nasdaq Composite .added 37.942 points or 1.01 percent, to 3,783.641.
About 580 stocks on the NYSE and Nasdaq hit new 52-week highs on Wednesday. About 325 of them hit their highs after the Fed announcement.
Source: Reuters
