Sensex, Nifty trade with cuts as hawkish Fed tone sours mood

“Even though the Fed downshifted the rate hike to 50 bp as expected, the tone of the commentary was unexpectedly hawkish. The FOMC statement, “the ongoing hikes will be appropriate to reach a sufficiently restrictive stance that returns inflation to 2% over time” is hawkish but the market seems to ignore this expecting inflation to cool down earlier than Fed’s expectations,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.