FRANKFURT (dpa-AFX) – The Fed’s interest rate forecasts put a damper on the year-end rally on the German stock market on Thursday. The Dax, which had already run out of steam somewhat on the previous days, fell below the 20,000-point mark and ultimately lost 1.35 percent to 19,969.86 points, just above its low for the day in late trading. The MDax of mid-caps closed down 1.62% at 25,428.36 points.
As expected, the Fed had cut its key interest rate for the third time in a row the previous evening, but predicted fewer rate cuts than previously due to stubbornly high inflation. This had weighed heavily on share prices on Wall Street and especially on the technology stock exchange Nasdaq.
The Fed’s easing phase could almost be over again, after the market had recently been dreaming of a year of interest rate cuts, wrote the experts at Index Radar. “In the meantime, it seems to have dawned on Fed members that the continued…
