Instant view: Fed holds interest rates steady, sets up for cuts

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Instant view: Fed holds interest rates steady, sets up for cuts
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The U.S. Federal Reserve held interest rates steady on Wednesday but signaled po...

NEW YORK - The U.S. Federal Reserve held interest rates steady on Wednesday but signaled possible rate cuts of as much as half a percentage point over the remainder of this year, as it responded to increased economic uncertainty and a drop in expected inflation.

FILE PHOTO: The Federal Reserve building is pictured in Washington, DC, U.S., August 22, 2018. REUTERS/Chris Wattie/File PhotoSTOCKS: U.S. stocks turned higher after the announcement, with the S&P 500 last up 0.36%. BONDS: The 10-year U.S. Treasury note yield fell to 2.0353% and the 2-year yield fell to 1.7678%.

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