US stocks ended Wednesday little changed after the Federal Reserve kept interest rates on hold and signalled it was in no rush to cut, citing uncertainty over President Trump’s tariffs.
The Dow slipped 44 points, or 0.1%, to 42,171.66. The S&P 500 edged down 0.03%, while the Nasdaq rose 0.13%.
While the benchmark rate remains at 4.25–4.5%, the Fed downgraded its 2025 growth forecast to 1.4% and raised its core inflation outlook to 3.1%.
Chair Jerome Powell said the Fed is “well positioned to wait,” adding: “The size of the tariff effects, their duration and the time it will take are all highly uncertain.”
Tensions persist in Middle East
Iran’s supreme leader warned of “irreparable damage” if the US intervenes in the Israel–Iran conflict, now in its sixth day.
President Trump told reporters Iran had reached out for talks and even suggested a White House visit, calling it “courageous.”
Microsoft job cuts, Bitcoin hedging
Microsoft is planning further layoffs, largely in sales, following a 6,000-person reduction in May.
Bitcoin held near US$103,620, with derivatives data showing traders hedging against a short-term pullback to US$100,000.
US jobless claims remain steady
Initial jobless claims fell slightly to 245,000. The four-week average rose to 245,500, its highest level since August 2023.
ASX futures point down, iron ore slips
Australian shares are set to open lower, with SPI futures down 0.28% to 8,525. Iron ore continued its decline, falling to US$92.60 a tonne.
Brent crude rose 0.3% to US$76.72 a barrel. Gold eased 0.2%, while the Aussie dollar gained to 65.03 US cents.
Key data today includes Australia’s unemployment rate at 11:30am and New Zealand GDP at 8:45am.
Looking ahead: global closures and central banks
Wall Street will be closed on Thursday for the Juneteenth public holiday. Meanwhile, the Bank of England is widely expected to leave its benchmark interest rate unchanged at 4.25%.
