Stocks rally, Treasury yields rise after Fed lifts rates by 75 bps

The Dow Jones Industrial Average .DJI ended the session by jumping 1%. The S&P 500 .SPX leapt 1.46%, and the Nasdaq Composite .IXIC climbed 2.5%.

NEW YORK: Global stocks rallied and government bond yields and the dollar retreated from multi-year highs on Wednesday as investors cheered the Federal Reserve's decision to raise interest rates by three-fourths of a percentage point, the biggest increase since 1994.

Investors seemed relieved that the U.S. central bank had met the market's expectations that it will act aggressively to tame surging inflation, and appeared for now to be comfortable with the Fed's projection that the economy is likely to slow in the next two years.