Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.
The markets are edgy this morning after the US Federal Reserve surprised investors by indicating that interest rates will rise from record lows sooner than expected, as the US recovery gather speed.
The Fed’s new projections, released after its latest policy meeting yesterday, indicate at least two rate increases are expected in 2023 – previously a majority of officials had seen them on hold near zero until 2024.
The Fed also began the process of “talking-about-talking-about” how it might end its bond-buying programme, a sign it is moving a little closer towards exiting its crisis-era stimulus measures.
John Abruzzi
(@CheksNBalances)
The Federal Reserve Dot Plot
Rising rates may be in our future, but it’s going to be a slow and gradual process.https://t.co/svzVh6dOtk#FOMC…
