The Fed's fourth rate increase of the year, which sent Wall Street tumbling, moved the central bank squarely into the crosshairs of the president, who had said earlier a rate hike would be "foolish." Since inflation has remained moderate, that allows the Fed "to be patient" in raising rates moving forward. The less upbeat outlook sent shares tumbling and Wall Street closed down sharply, while the dollar advanced against the euro. While he highlighted Powell's focus on solid growth prospects, Naroff said the markets may have wanted the Fed to keep rates on hold next year. Increasing signs the US economy may have peaked have caused stock markets to crumble in recent weeks, with Wall Street wiping out all of its 2018 gains.

Source: Bangkok Post December 19, 2018 22:18 UTC