Tag: Federal Reserve

The Federal Reserve, known colloquially as the Fed, wields considerable power over the United States economy. Its monetary policy decisions resonate through Wall Street, Main Street, and beyond. For investors focused on the Dow Jones Industrial Average (DJIA), understanding how the Fed's moves can affect the index is critical in making informed portfolio decisions. Interest Rate Adjustments and the Dow Interest rate hikes or reductions are some of the most direct tools the Fed uses to manage economic growth. When the Fed adjusts the federal funds rate— the rate at which...