Fed announces three quarters percentage-point rate hike to control inflation

[progree]

3. non-paywalled Yahoo Finance article

raised interest rates by 0.75% to a range of 1.50% to 1.75%

https://finance.yahoo.com/news/fed-fomc-monetary-policy-decision-june-2022-120337242.html

... In economic projections released Wednesday, the median Fed policymaker expects to further raise interest rates to roughly 3.4% by the end of the year. That would suggest another 1.75% in total rate hikes, spread across the remaining four scheduled policy-setting meetings this year. ((that's an average of 1.75/4 = 0.44% per meeting --Progree))

... The median Fed policymaker now expects prices to rise by 5.2%, as measured by personal consumption expenditures (PCE), over the course of 2022

... the median member of the committee expects to see the pace of headline price increases to cool to 2.6% next year. These forecasts suggest inflation could further in 2024 to 2.2%, much closer to the Fed’s 2% target.

... The central bank also downgraded expectations on other key economic measures, expecting the U.S. economy to grow by only 1.7% this year, compared to the 2.8% it had forecast in March. ((Remember that Q1 GDP was -1.5% annualized rate, in their 2nd estimate)).

As of 227p ET -- stocks, which were up for the day, dipped some right after the announcement, but were still in positive territory. Then they quickly got back to almost to where they were before the announcement. S&P 500 currently 3765, up from yesterday's 3735 close. 3765 is down 22.1% from the Jan 3 all-time high, so it's still in bear territory, which begins at 3838 ("Munich Munich" ) since the Munich conference and Neville Chamberlain and "peace in our time" occurred in 1938. (3838 is 20% down from the 4797 all-time closing high of January 3).