Investor Alert

Sept. 21, 2022, 2:14 p.m. EDT

Top 10 Takeaways From September Fed Meeting & FOMC Statement

Watchlist Relevance

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

or Cancel Already have a watchlist? Log In

Sep 21, 2022 (Penny Stocks via COMTEX) -- Originally Published: September 21, 2022 2:00 PM ET

Updated: September 21, 2022 2:13 PM ET

The September Federal Reserve Meeting concluded today with the Fed announcement out at 2 PM ET. Jerome Powell's prior statements echoed a hawkish tone. It will be interesting to see how hawkish or dovish things will be for the rest of 2022 following the September Fed meeting. Plus, details could suggest how the market approaches risk-on assets like penny stocks .

Fed Rate Hike Announcement

Speculation was abuzz this month. Will we get 50, 75, or 100 basis point rate hike? The August CPI data and August PPI data showed that peak inflation isn't here yet, and concerns persist over prices. Reports from companies like FedEx (NYSE: FDX ) and Ford (NYSE: F ) brought more concerns. Each weighed in on the state of the economy as it related to the performance for the rest of the year.

When asked if the economy is going into a worldwide recession, FedEx CEO Raj Subramaniam said in an interview with CNBC's Jim Cramer, "I think so. But you know, these numbers, they don't portend very well...I'm very disappointed in the results that we just announced here, and you know, the headline really is the macro situation that we're facing."

Inflation and balance sheet runoff are in the spotlight as investors digest the latest from the September Federal Reserve meeting. This may be the biggest event in the stock market today. But it isn't the only potential catalyst to account for this week. For more details on daily catalysts in the stock market, check out " Stock Market This Week: What To Watch 9/19-9/23 ."

Here's a breakdown of the hot topics & takeaways from the FOMC announcement & details from the September Fed Meeting:

Top 10 Takeaways From September Fed Meeting, FOMC Statement, & Interest Rate Hike

  1. Fed rate hike announcement: the Federal Reserve Raises Rates By 75 basis points

  2. FOMC votes 12-0 for fed funds rate action.

  3. Fed raises Fed Funds Rate target for the end of year to 4.4%, 4.6% at the end of 2023, 3.9% in 2024

  4. Fed Funds rate for 2023 set at 4.6

  5. Increased unemployment rate to 4.4% in 2023 with slightly higher expectations of 3.8% by the end of this year.

  6. Remain on track for balance sheet reduction

  7. Fed officials see inflation of 5.4% by the end of 2022, 2.8% at the end of 2023, and 2.3% for 2024

  8. Fed officials see 0.2% GDP growth at the end of this year, 1.2% for 2023, & 1.7% for 2024

  9. Fed says 1.25 percentage point of rate increases remain for the rest of this year and 0.25 percentage point rate hike in 2023.

  10. Interest rates rise to highest level since 2008.

At the time of the update, S&P 500 ETF (NYSEARCA: SPY ) set at the $380 area, the NASDAQ ETF (NASDAQ: QQQ ) at the $285 area, the Dow ETF (NYSEARCA: DIA ) at the $304 area, and Russell 20000 Small-Cap ETF (NYSEARCA: IWM ) in the $176 area.

[Read More] 3 Energy Penny Stocks To Watch After SLNG Stock Explodes

Fed Chair Jerome Powell FOMC Press Conference Highlights

Federal Reserve Chair Jerome Powell speaks at 2:30 PM ET. This is a developing story and will be updated as more details emerge.

If you enjoyed this article and you're interested in learning how to trade so you can have the best chance to profit consistently then you need to checkout this YouTube channel. CLICK HERE RIGHT NOW!!


Is there a problem with this press release? Contact the source provider Comtex at editorial@comtex.com. You can also contact MarketWatch Customer Service via our Customer Center.

This Story has 0 Comments
Be the first to comment

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.