US Stocks Slip After Fed Hikes Interest Rates for First Time in Three Years

The US stock market took a hit on Wednesday after the Federal Reserve raised interest rates for the first time in three years, hinting that more increases may be ahead to combat high inflation.

The S&P 500 fell by 0.4%, with the Dow Jones Industrial Average dropping 1.2% and the Nasdaq composite barely budging.

The Fed's decision came as a surprise to some, given the economy's strong growth and hiring trends, which may imply that it can withstand more rate hikes.

Bank stocks were particularly hard hit, with Huntington Bancshares falling 5.6% and JPMorgan Chase slipping 1%, as higher interest rates slow down loan demand and reduce profit margins for banks.