Palantir Technologies Inc (NYSE:PLTR) shares are trading lower Thursday amid overall market weakness as stocks fall following Wednesday's Fed rate hike announcement. 

The Federal Reserve raised interest rates by three-quarters of a percentage point on Wednesday in what was its most aggressive rate hike since 1994.

"Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures," the central bank said.

Higher rates decrease the present value of future cash flows, which can negatively impact the valuations of growth stocks.

Related Link: Federal Reserve Raises Interest Rates by 0.75%, Hikes Inflation Estimates: What Investors Need To Know

Other News: Palantir on Thursday announced a strategic partnership with Alphabet Inc's (NASDAQ:GOOG) Google Cloud.

The partnership aims to enable data-driven transformation for clients by "turbocharging" Palantir Foundry’s operational decision making with Google Cloud’s capabilities in analytics, artificial intelligence and machine learning. 

PLTR Price Action: Palantir has traded between $29.29 and $6.44 over a 52-week period.

The stock was down 6.5% at $7.60 at press time, according to data from Benzinga Pro.

Photo: Cory Doctorow from Flickr.