Fed holds interest rates, TSX gains

Fed holds interest rates, TSX gains

Fed holds interest rates, TSX gains The Federal Reserve made its highly-anticipated announcement on US interest rates during the afternoon Thursday. The decision was to leave the rate unchanged at near zero with the possibility that there will be a 0.25 per cent rise this year and a further 1 per cent in 2016. However macroeconomic issues continue to add a touch of uncertainty to the timing and many are pricing in the first rise for 2016.

Wall Street has reacted with mixed sentiment and the Dow and S&P indexes have closed slightly lower with the Nasdaq slightly above the line.

The Toronto Stock Exchange’s main index has gained following the news as energy and financial stocks saw the biggest gains.
European markets were mixed at the close of trading. Asian markets were broadly higher when they closed earlier Thursday although China’s main index was down. Friday morning will bring reaction from the volatile Shanghai market.
 
The S&P/TSX Composite Index closed up 23.38 (0.17 per cent)
The Dow Jones closed down 65.21 (0.39 per cent)
Oil is trending lower (Brent $49.15, WTI $46.85 at 4.15pm)
Gold is trending higher (1133.10 at 4.15pm)
The loonie is valued at U$0.7605