17 December 2015

US rate hike ends wait, but not uncertainty for Asia

People are reflected on the electronic board of a securities firm in Tokyo,Thursday, Dec. 17, 2015. Asian stocks posted broad gains Thursday after the Federal Reserve ended protracted uncertainty in markets by raising interest rates for the first time in nearly a decade and signaling that further increases will be gradual.
The Federal Reserve's rate hike was welcomed in Asia as a sign of strength in the U.S., one of the region's biggest export markets. But it could complicate Chinese efforts to avoid a sharper economic slowdown and keep the yuan steady.
The U.S. central bank on Wednesday raised the Federal Funds Rate by a quarter percentage point, the first such increase in nearly a decade. The decision ended a long period of uncertainty about when the Fed would begin winding down the easy money deployed to help heal the economic damage of the 2008 financial crisis.