Trump budget chief sees Fed continuing accommodative rate policy


Asian markets were also waiting to see if China's central bank would follow the Fed with another round of money market rate increases, as it did in March.

Fed officials now expect the US unemployment rate to end the year at 4.3 percent, down from the 4.5 percent they predicted in March.

Stocks were also weighed down as Brent crude remained under 47 USA dollars a barrel, down another 0.1% at 46.84 U.S. dollars and languishing at the lowest level for almost a year.

Wall Street's top banks brought forward their expectations for when they think the Federal Reserve will begin reducing its $4.5 trillion bond portfolio to as early September, and see balance sheet reduction as more of a priority than another interest rate rise, a Reuters poll showed.

Cristiano Ronaldo: Portugal shouldn't panic after Mexico draw
Mexico's all-time leading scorer still had time before the end of the half to blaze over from a good position. His pass split the Mexican defence and gave Ricardo Quaresma a golden opportunity to open the scoring.

CURRENCIES: The dollar rose to 109.75 from 109.57 yen.

The US Federal Reserve increased its key interest rate by 0.25% to a 1.00%-1.25% range on Wednesday, maintaining its view that three total rate hikes in 2017 will be appropriate.

Experts said that the State Bank of Việt Nam's policies on exchange rates helped the market avoid external shocks, adding that the Fed rate hikes would not have significant impacts on VNĐ/USD exchange rates.

US stocks rose after the Fed announcement, while the dollar reversed some of its earlier losses. This would reduce its holdings of Treasury and mortgage-backed bonds, which they acquired in the wake of the financial crisis to support economic growth.

The Drug Policy Alliance Statement On The Acquittal Of Officer Yanez
Anthony police department, which said "the public will be best served if Officer Yanez is no longer a police officer in our city". Anthony, Minnesota , police officer Jeronimo Yanez of second-degree manslaughter charges in the shooting of Philando Castile .

Now the Fed said the inflation will be below its 2 percent target. The S&P ASX 200 in Australia tumbled 1.2 percent to 5,763.20. Inflation was expected to be at 1.7% by the end of this year, down from the 1.9% previously forecast. A local expert says the USA rate hike could actually help Korea resolve its massive household debt problem, which topped a staggering 1.2-trillion US dollars in the first quarter. The decision which was taken on Wednesday was in the 8-1 vote. They fell as low as 2.103 percent following the downbeat data, their lowest since November 10.

Sterling weakened 0.3 percent to $1.2717 before a Bank of England policy decision expected to leave interest rates at record lows.

ASIA'S DAY: Japan's Nikkei 225 stock index fell 0.3 percent to 19,831.82 and South Korea's Kospi sank 0.5 percent to 2,361.65.

However, Yellen said business and household confidence remain quite strong, and echoed the statement from the Fed's policysetting Federal Open Market Committee, which repeated its confidence that the United States economy would continue to expand "at a moderate pace" even with further gradual rate increases.

Grenfell Tower victims and community leaders meeting PM at Downing Street
Demonstrators crowd a staircase at Kensington Town Hall , during a protest following the The Grenfell Tower fire . In recent years, London's skyrocketing home prices and housing shortage have left residents struggling.

The Federal Reserve was able to modestly raise rates because of the United States economy's relatively strong performance, in comparison with the U.S. or Europe.