The stock futures fell after the Federal Reserve raised rates.
The futures tied to the Industrial Average lost ground. The S&P 500 futures and the Nasdaq 100 futures fell.
The S&P 500 gained 2.99% in regular trading, while the Dow Jones Industrial Average rose 934 points. The index jumped 3.19%.
The Fed increased its benchmark interest rate by 50 basis points, as expected, and said it would begin reducing its balance sheet in June. However, investor sentiment, which has been bogged down since the start of the year, flipped during Powell's news conference, when he clarified that the Fed is not actively considering a larger, 75-basis-point rate hike.
Markets could see a relief rally after the rate increase, according to some Wall Street strategists. After Powell said the central bank could slow inflation without causing a recession, investors were reassured.
The Fed is open to the idea of taking rates above neutral to rein in inflation, according to the head of portfolio strategy at Horizon Investments.
Despite the tightening that we have seen in financial conditions over the last few months, it is clear that the Fed would like to see them tighten further.
The market was down after hours as companies continued to report financial results for the last quarter. eBay lost 5.8% in extended trading on lighter-than- expected revenue guidance for the second quarter. Booking shares advanced more than 8% after hours.
Earnings will be reported before the bell on Thursday, with Shell, Shopify and ConocoPhillips. The big names will report after the market closes.
The unemployment claims data is due out at 8:30 a.m.
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