Uber Technologies Inc (NYSE:UBER) shares are trading lower Thursday amid overall market weakness as stocks fall following Wednesday's Fed rate hike announcement.
The Federal Reserve raised interest rates by three-quarters of a percentage point on Wednesday in what was its most aggressive rate hike since 1994.
"Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures," the central bank said.
Wednesday's rate hike brings the target range for the federal funds rate up to 1.5% to 1.75%. In an effort to achieve maximum employment and 2% inflation over the long term, the Fed said it anticipates that ongoing increases in the target range will be appropriate.
Related Link: Federal Reserve Raises Interest Rates by 0.75%, Hikes Inflation Estimates: What Investors Need To Know
The Fed noted that Russia's invasion of Ukraine and COVID-related lockdowns in China have put additional upward pressure on inflation.
"The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals."
UBER Price Action: Uber has traded between $52.36 and $20.89 over a 52-week period.
The stock was down 7.4% at $20.40 at press time, according to data from Benzinga Pro.
Photo: courtesy of Uber.
