Fed Raises Rates Amid Ongoing War Pressures Global Markets

The U.S. Federal Reserve raised interest rates for the first time in three years on Wednesday, increasing them by a quarter of a percentage point to a target range of 3.75-4.00 percent.

This move aims to control stubbornly high inflation above its target level, and market reactions were 'pretty much expected' since the rate rise was in line with market expectations, according to Lorraine Tan, director of equity research for Asia at Morningstar.

Despite Wall Street closing lower on Wednesday, world shares mostly advanced on Thursday. The S&P 500 futures climbed 0.8 percent, and the Dow Jones Industrial Average gained 0.7 percent.

Early European trading saw Britain's FTSE 100 rise 0.5 percent to 10,739.72, while France's CAC 40 advanced 0.3 percent to 8,163.52. Germany's DAX climbed 0.6 percent to 25,694.84.