The Federal Reserve held its benchmark rate Wednesday, and every conventional market signal read hawkish: major US and Canadian equity indexes fell, the ten year Treasury yield climbed, and the VIX jumped more than 13% in a single session. Only war linked commodities and gold held their ground amid the broader selloff. Chair Kevin Warsh attributed part of the reaction to the removal of forward guidance rather than a shift in the Fed's expected policy path, a communication effect distinct from the rate decision itself.
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