GLOBAL MARKETS-Stocks cut losses, dollar drops after Fed statement

* Fed sees higher growth, rates remain steady
* US 10-yr yield largely holds steady after statement
* Oil falls further on demand outlook, U.S. stock build

(Updates with reaction to Fed meeting)
By Lewis Krauskopf
NEW YORK, March 17 (Reuters) - A gauge of global stocks cut
losses on Wednesday and benchmark U.S. Treasury yields largely
held gains after the Federal Reserve repeated its pledge to keep
its target interest rate near zero for years to come.
The U.S. dollar also weakened after the highly anticipated
statement from the U.S. central bank, which projected a rapid
jump in U.S. economic growth and inflation this year as the
COVID-19 crisis winds down. The benchmark 10-year Treasury note US10YT=RR , which
touched 1.689%, its highest level since January 2020, earlier in
the session, last fell 11/32 in price to yield 1.6603%, from
1.623% late on Tuesday.
“The Fed statement today was more optimistic than some
expected, they raised their outlook for both economic growth and
the labor market," said David Carter, chief investment officer
at Lenox Wealth Advisors in New York. "The market's view of the
statement is that it was fairly optimistic."
On Wall Street, major indexes were mixed after moving higher
after the Fed statement.
The Dow Jones Industrial Average .DJI rose 140.82 points,
or 0.43%, to 32,966.77, the S&P 500 .SPX lost 0.9 points, or
0.02%, to 3,961.81 and the tech-heavy Nasdaq Composite .IXIC
dropped 33.15 points, or 0.25%, to 13,438.42.
The pan-European STOXX 600 index .STOXX lost 0.45% and
MSCI's gauge of stocks across the globe .MIWD00000PUS shed
0.06%, after falling more sharply earlier in the session.
In currencies trading, the dollar index =USD fell 0.33%,
with the euro EUR= up 0.52% to $1.1962.
Oil slipped for a fourth day, weighed down by expectations
of weaker demand in Europe and by rising U.S. crude inventories.
U.S. crude CLc1 recently fell 0.17% to $64.69 per barrel
and Brent LCOc1 was at $68.11, down 0.41% on the day.

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
INSTANT VIEW-FOMC: Accelerated growth seen, only slight change
in tightening outlook markets http://tmsnrt.rs/2ihRugV
Global asset performance http://tmsnrt.rs/2yaDPgn
Tolerated Inflation Hump? https://tmsnrt.rs/3qV72Xj
A steeper U.S. Treasury yield curve https://tmsnrt.rs/3tsINRP
World FX rates http://tmsnrt.rs/2egbfVh
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
(Additionl reporting by Stephen Culp in New York, Dhara
Ranasinghe in London; Editing by Elaine Hardcastle and Nick
Zieminski)