• The Federal Reserve's June 17, 2026, decision to hold rates steady was accompanied by a hawkish shift in the dot plot, indicating expectations for higher rates by year-end 2026.
  • This hawkish outlook, combined with persistent inflation risks, weighed on global equity sentiment, leading to a mixed to negative performance across major indices.
  • ACWI's decline reflects a broad market reaction rather than a single-stock catalyst, as investors adjusted to the prospects of a prolonged restrictive monetary policy.