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Stock markets to party on

Tim Boyle | Bloomberg | Getty Images

Just when Wall Street thought the party was over, the Fed flipped the switch back on, leaving its easy money policy unchanged.

The sharp rally following the Fed's announcement Wednesday signaled a more positive time for risk markets ahead. Analysts say that, in general, the Fed's move should drive more gains for stocks, but the market will not be without its lumps in coming weeks, particularly as Congress wrangles over the debt ceiling. There is also the issue of a market that very quickly began to look overbought, with more than a quarter of the S&P 500 stocks surging to new highs Thursday.

(Read more: Buffett: Stocks now 'more or less fairly priced')

Stocks caught their breath after Wednesday's sharp race to new highs. The S&P 500 was down 3 points at 1722, while the off 40 at 15,636. The best performing sectors were tech, industrials and consumer discretionary.