The move for equities appeared to be something of a relief rally after a soft start to the week. Tech stocks — which have struggled recently — were a big part of the story, with the Nasdaq Composite gaining 2.15% after underperforming on Monday and Tuesday. Shares of Apple jumped nearly 3%.
However, Wednesday's rally was not a rush back into a growth market. Defensive plays such as UnitedHealth and Dominion Energy also outperformed.
"Given the market reaction – stocks higher and bond yields marginally higher – it appears that the Fed had successfully communicated this news ahead of time and although the stock market moved higher during the press-conference, the sectors leading the market higher (e.g. Utilities and Healthcare) are both very defensive sectors and indicate some concern about the future path of the economy," Chris Zaccarelli, chief investment officer for Independent Advisor Alliance, said in a note.
