U.S. markets fall after Powell says interest rates will likely remain unchanged beyond March - UPI.com
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U.S. markets closed lower and treasury yields surged following comments from Federal Reserve Board Chairman Jerome Powell, who indicated that the central bank wasn't likely to lower interest rates anytime soon. The Dow Jones Industrial Average was down 421.74 points, or 1.09%, while the S&P 500 dropped 0.82% and the Nasdaq Composite declined 0.98%. The 10-year Treasury yield opened up by 5 basis points to 4.081% on Monday, while the 2-year Treasury yield went up by more than 6 basis points to 4.435%. Powell noted that the first cut of the year was unlikely to occur when the Federal Reserve Board meets again in March. Powell clarified his economic outlook days after the central bank maintained interest rates between 5.25% and 5.5% for the fourth consecutive time, even as inflation had fallen to nearly 3% since the end of the global pandemic. Powell sought to temper expectations as some economists had predicted the Fed could potentially issue five rate reductions throughout 2024. Powell warned that interest rate cuts would be more gradual than what economists had predicted. Last week, the bond market was on the decline but jolted upward a day after Powell emphasized that the nation's central bank was concerned about inflation regaining steam if the body moved too hastily to lower interest. Investors remained wary about the persistently elevated interest rates despite signs of a strengthening economy, including an expanding labor market.
#U.s.Markets #InterestRates #FederalReserve #JeromePowell
https://www.upi.com/Top_News/US/2024/02/05/federal-reserve-chairman-jerome-powell-interest-rates/2211707137666/
UPI News /
npub1up…p85da
2024-02-05 17:28:24
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npub1up366k34ghh433r7pchkdx4wjalhdrqnnh7ssjqexn7jhzzrs6fsup85daPublished at
2024-02-05 17:28:24Event JSON
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"content": "U.S. markets fall after Powell says interest rates will likely remain unchanged beyond March - UPI.com\n==========\n\nU.S. markets closed lower and treasury yields surged following comments from Federal Reserve Board Chairman Jerome Powell, who indicated that the central bank wasn't likely to lower interest rates anytime soon. The Dow Jones Industrial Average was down 421.74 points, or 1.09%, while the S\u0026P 500 dropped 0.82% and the Nasdaq Composite declined 0.98%. The 10-year Treasury yield opened up by 5 basis points to 4.081% on Monday, while the 2-year Treasury yield went up by more than 6 basis points to 4.435%. Powell noted that the first cut of the year was unlikely to occur when the Federal Reserve Board meets again in March. Powell clarified his economic outlook days after the central bank maintained interest rates between 5.25% and 5.5% for the fourth consecutive time, even as inflation had fallen to nearly 3% since the end of the global pandemic. Powell sought to temper expectations as some economists had predicted the Fed could potentially issue five rate reductions throughout 2024. Powell warned that interest rate cuts would be more gradual than what economists had predicted. Last week, the bond market was on the decline but jolted upward a day after Powell emphasized that the nation's central bank was concerned about inflation regaining steam if the body moved too hastily to lower interest. Investors remained wary about the persistently elevated interest rates despite signs of a strengthening economy, including an expanding labor market.\n\n#U.s.Markets #InterestRates #FederalReserve #JeromePowell\n\nhttps://www.upi.com/Top_News/US/2024/02/05/federal-reserve-chairman-jerome-powell-interest-rates/2211707137666/",
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