By Dhirendra Tripathi

Investing.com — After the Federal Reserve kept interest rates at the same level and said it would start cutting back its monthly bond purchase, stocks rose higher on Wednesday. It was an admission that the U.S. is on the right track to economic recovery.

Jerome Powell, Fed Chair acknowledged there are still challenges.

Beginning this month the Fed will begin to reduce its purchase of bond bonds slowly, with a goal to stop buying them by mid-2019. Powell repeated his oft-cited mantra that price increases would be “transitory” and won’t require swift changes to interest rates.

The Fed pointed out global supply problems, and said they needed to be addressed in order to allow prices to fall.

Powell spoke at a news conference, “As this pandemic subsides supply-chain issues will be abated and job growth will return to normal.” And as this happens, inflation will drop from today’s high levels. The timing is not certain.

Wall Street ignored rising prices for a large part. Stocks in the United States have reached new heights due to strong third quarter earnings and optimistic outlooks.  U.S. stocks hit record highs due to optimism about future growth.

U.S. private employers maintained hiring in October, according to the private payroll report by , which came out two days before the government’s highly anticipated jobs report for October.

Three things could impact the markets in tomorrow’s future:

1. Uber Earnings

Uber Technologies Inc (NYSE:)’s revenue in the third quarter is seen at $4.42 billion with loss per share expected to come in at 34 cents. However, ride-hailing rival company Lyft (NASDAQ): The quarter saw a positive return in demand, and analysts will continue to monitor Uber’s performance.

2. Earnings from Airbnb

Airbnb Inc (NASDAQ:) is expected to report a third-quarter profit per share of 72 cents on revenue of $2.06 billion, according to analysts tracked by Investing.com. Analysts desire to see how holiday travel season looks in terms of bookings.

3. Square earnings

Square Inc (NYSE:)’s third-quarter revenue is likely to be $4.38 billion with profit per share seen coming in at 36 cents.

This was a contribution from Reuters