Market Rally Following Fed's Decision

In a significant upturn, United States stocks closed sharply higher on Wednesday, with the Dow Jones Industrial Average surging over 280 points. This rally came after the Federal Reserve announced its decision to leave the benchmark interest rate unchanged at 4.25%–4.50%.

Fed Chair Jerome Powell's Remarks

Fed Chair Jerome Powell highlighted the central bank's patience in its current stance. However, he warned that sustained tariffs could potentially fuel inflation, adding a layer of uncertainty that prevents the Fed from taking preemptive actions. Powell also reaffirmed the Fed's independence from political influences, including those from US President Donald Trump.

Market Indices Performance

The Dow Jones increased by 0.70%, or 283 points, at the close. Similarly, the Nasdaq 100 and the S&P 500 saw gains of 0.39% and 0.43%, respectively. Meanwhile, the euro experienced a slight decline against the dollar, trading 0.58% lower to 1.13047 by 3:57 pm ET.

More developments are expected as the market continues to react to the Fed's latest decisions and statements.