Fed leaves rates unchanged until 2022 – and markets are all over the place

Today all eyes were on the Fed.

Stocks dropped after the open, then moved sideways with traders waiting for the FOMC Statement and Press Conference this afternoon.

At 2pm ET the Fed voted to keep rates unchanged, with rates not expected to increase until late 2022.

Although there weren’t really any surprises in the Fed’s decision, the Fed predicts that the U.S. economy would likely see a 6.5% decline this year. And Fed Chair Jerome Powell said the recovery after the pandemic “is going to take some time.”

Stocks initially rallied after the Fed Statement. But after multiple attempts to push higher, the DOW and S&P dropped and ended lower for the second consecutive day.

But the NASDAQ was another story.

The NASDAQ closed above 10,000 for the first time in history! According to Marketwatch, it was the fastest 1,000 point move (from 9,000 to 10,000) since the year 2000.