The US Federal Reserve sent a strong signal that it expects to tighten monetary policy by the middle of 2015 as it dropped its forecast that it would keep low interest rates for a “considerable time”.
But the rate-setting Federal Open Market Committee said it could be “patient” in judging when to start raising rates, in new language designed to reassure markets that rate rises are not imminent.
The S&P 500 climbed 1.8 per cent to 2007.58 points. The dollar was little changed against the euro at $1.2421.
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