This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Investors Should Take Calm From the Latest Fed Statement

NEW YORK (TheStreet) -- Investors received calming news from the Federal Reserve on Wednesday as central bankers showed they're not oblivious to market jitters created by their communication.

The Fed's latest policy-making statement said the central bank would slow its rate of monthly asset purchases -- also referred to as its economic stimulus program -- to $45 billion a month ($20 billion in mortgage-backed securities and $25 billion in longer-term Treasuries). But it also reiterated the commitment to maintain the federal funds rate for a considerable time after the end of stimulus.


WATCH: More feature videos on TheStreet TV | More videos from Joe Deaux

"I think all the Fed is trying to signal is: We're trying to be careful, we're going to have a balanced opinion, we're going to [approach a rate rise] slowly," Wells Fargo Advantage Funds senior portfolio manager Ann Miletti, said in an interview.

While many headlines about the statement focus on continuation of the so-called taper and pickup in economic growth, it's important for investors not to forget the recent saga of rates rhetoric Chair Janet Yellen and others have delivered since last month.

During her first press conference as Fed chair, Yellen said in March that the central bank could begin to raise rates six months after it ended the economic stimulus program.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,044.47 +65.34 0.38%
S&P 500 1,991.09 +4.58 0.23%
NASDAQ 4,525.5310 -0.9510 -0.02%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs