Stocks
fell in Europe and Asia and the dollar strengthened on Thursday after
the Federal Reserve took an upbeat view of the world's largest economy
and signaled it was on track to raise interest rates this year.
The stronger dollar helped push U.S. oil prices to six-year lows and weighed on the price of gold.
Greece, where a radical leftist prime minister took over on Monday, also kept investors nervous, although Greek shares regained some ground after falling 9.2 percent on Wednesday.
The Fed, after a two-day policy meeting, also said it would be "patient" and would take international developments into account in deciding when to raise borrowing costs -- a reference some in the markets saw as meaning any hike could be delayed.
German government bond yields fell, following similar declines in U.S. Treasuries, on this dovish view. U.S. 30-year bond yields US30YT=RR hit a record low on Wednesday.
Concerns over Greece, whose new government opposes the conditions attached to the country's international bailout, also boosted demand for low-risk debt, though Greek yields soared.
European shares, driven lower on Tuesday and Wednesday, after the left-wing party Syriza won Sunday's election in Greece, fell again. The pan-European FTSEurofirst 300 index .FTEU3 was last down 0.7 percent at 1,464 points.
The main Athens stock index .ATG
was up 0.5 percent, with bank shares, hammered this week, bouncing off
record lows. Greek 10-year bond yields GR10YT=TWEB hit 1 1/2-year highs
above 11 percent, up more than 30 basis points on the day.
Shares were weak in Asia. Japan's Nikkei .N225 fell 1.1 percent in its biggest one-day drop in two weeks. MSCI's main measure of Asia-Pacific shares, excluding Japan, .MIAPJ0000PUS fell 1.2 percent.
Wall Street fell on Wednesday, with the S&P 500 index .SPX losing 1.4 percent following the Fed statement and as lower oil prices pressured energy stocks .SPNY.
The Fed's monetary policy stance contrasts with those of other major central banks. The European Central Bank last week unveiled a bond-buying program to stimulate the economy.
The dollar index .DXY, which measures the greenback against a basket of currencies, was up 0.2 percent. The U.S. currency was up 0.3 percent at 117.87 yen JPY=. The euro was marginally lower at $1.1304 EUR=.
The New Zealand dollar NZD= hit its lowest since March 2011 after the central bank opened the door to a possible interest rate cut
Greece, where a radical leftist prime minister took over on Monday, also kept investors nervous, although Greek shares regained some ground after falling 9.2 percent on Wednesday.
The Fed, after a two-day policy meeting, also said it would be "patient" and would take international developments into account in deciding when to raise borrowing costs -- a reference some in the markets saw as meaning any hike could be delayed.
German government bond yields fell, following similar declines in U.S. Treasuries, on this dovish view. U.S. 30-year bond yields US30YT=RR hit a record low on Wednesday.
Concerns over Greece, whose new government opposes the conditions attached to the country's international bailout, also boosted demand for low-risk debt, though Greek yields soared.
European shares, driven lower on Tuesday and Wednesday, after the left-wing party Syriza won Sunday's election in Greece, fell again. The pan-European FTSEurofirst 300 index .FTEU3 was last down 0.7 percent at 1,464 points.
Shares were weak in Asia. Japan's Nikkei .N225 fell 1.1 percent in its biggest one-day drop in two weeks. MSCI's main measure of Asia-Pacific shares, excluding Japan, .MIAPJ0000PUS fell 1.2 percent.
Wall Street fell on Wednesday, with the S&P 500 index .SPX losing 1.4 percent following the Fed statement and as lower oil prices pressured energy stocks .SPNY.
The Fed's monetary policy stance contrasts with those of other major central banks. The European Central Bank last week unveiled a bond-buying program to stimulate the economy.
The dollar index .DXY, which measures the greenback against a basket of currencies, was up 0.2 percent. The U.S. currency was up 0.3 percent at 117.87 yen JPY=. The euro was marginally lower at $1.1304 EUR=.
The New Zealand dollar NZD= hit its lowest since March 2011 after the central bank opened the door to a possible interest rate cut
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