U.S. equity markets ended mixed Wednesday with the Nasdaq Composite hitting a record high as investors weighed the Federal Reserve’s decision to keep policy on hold and as they awaited on firm details of a COVID-19 stimulus deal.


OLDS, PROMISES LOW RATES THROUGH 2023

The Federal Reserve held interest rates near zero, where they will likely stay through 2023, at its final meeting of the year and left its asset-purchase program unchanged at $120 billion per month. The central bank said there is high uncertainty surrounding its economic forecast, which calls for gross domestic product to decline by 2.4% this year and for the unemployment rate to fall to 5% next year.

As for economic forecasts, the Fed now projects GDP of 4.2% next year up 0.2% from September projections.

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COVID-19 STIMULUS TALKS DRAG ON 

Meanwhile, negotiations between Democrats and Republicans on coronavirus relief are “getting closer and closer” to a deal, Senate Majority Leader Mitch McConnell of Kentucky said late Tuesday.

A proposed $908 billion package is gaining some momentum. The package is broken up into two parts – a $748 billion bill that includes additional Paycheck Protection Program funding and unemployment benefits, and a $160 billion bill that provides funding for state and local governments and liability protections for businesses. Still, lawmakers were grappling over the size of potential direct payments to individuals. Read more at FOX Business