US stocks posted their worst week in close to 8 months as the Fed announced it planned to move sooner to raise interest rates than previously expected. The S&P 500 fell 1.9%, while the Dow sank 3.5% for the week. Abroad, the FTSE All World Ex US was down 0.9% for the week. The yield on the 10-year Treasury fell further over the week ending at 1.44%, falling for five straight weeks. Oil prices hit a two and half year high of $72.12 a barrel.
France, Italy, and Spain have extended government support measures for businesses as the region continues to struggle to bounce back from the pandemic.
Retail sales fell 1.3% in May.
China’s economy cooled in May. While factory output remained strong, investment and domestic consumption were below expectations.
The Fed estimated at their June meeting they would be raising the Fed Funds rate by the end of 2023, earlier than previously projected.
Fed Governor Bullard said he thought the Fed could raise the Fed funds rate as soon as late 2022.