By Caroline Valetkevitch
(Reuters) - The Dow and S&P 500 were down slightly in afternoon trading on Wednesday after the Federal Reserve raised interest rates as expected and projected a slightly faster pace of rate hikes in the coming months.
Two additional hikes are now expected by the end of this year, compared to one previously.
In its decision on Wednesday, the Fed raised its benchmark overnight lending rate a quarter of a percentage point to a range of between 1.75 percent and 2 percent.
"The statement was a bit hawkish relative to market expectations, and that's why we're not getting a rally. The June hike was already in the market and the market is keying off what they expect for the next six months and it was a bit more hawkish," said Jason Ware, chief investment officer at Albion Financial in Salt Lake City.
At 3:30 p.m. ET, the Dow Jones Industrial Average <.DJI> fell 48.49 points, or 0.19 percent, to 25,272.24, the S&P 500 <.SPX> lost 4.66 points, or 0.17 percent, to 2,782.19 and the Nasdaq Composite <.IXIC> added 6.67 points, or 0.09 percent, to 7,710.46.
Declining issues outnumbered advancing ones on the NYSE by a 1.91-to-1 ratio; on Nasdaq, a 1.21-to-1 ratio favoured decliners.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)