Treasuries End Higher on Rate Hikes

Prices rose after the Federal hiked interest rates by a quarter percentage point

Short covering and month-end adjustments underscored the rally ahead of the Federal Open Markets Committee meeting. The Fed's policy-making arm raised its target for the federal funds rate by 25 basis points to 1.25%. The 25-basis-point rate hike was widely discounted and many see that rate headed to 2.25% by the end of this year or early next year.

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