U. S. Stock Market rises after Powell’s comments
2023.02.07 14:02
U. S. Stock Market rises after Powell’s comments
By Tiffany Smith
Budrigannews.com – On Tuesday saw a rise in Wall Street’s main indexes, with the S&P 500 and Nasdaq both rising more than 1% as a result of comments from Federal Reserve Chair Jerome Powell that were deemed to be less hawkish than anticipated.
During a Q&A session at the Economic Club of Washington, Powell stated that he anticipates “significant declines in inflation” in 2023.
“He’s (Powell) not uttering a word that would make you believe he will raise rates more than whatever the market is expecting as of now,” said Joe Saluzzi, co-director of exchanging at Themis Exchanging New Jersey.
“He didn’t sound like he would have done something different if you would have seen that jobs report,” the interviewer asked him in the first question.
After data on Friday showed that the U.S. economy added jobs quickly in January, markets are now pricing in a peak rate above 5%. The Fed raised interest rates by 25 basis points last week.
At 12:58 p.m. ET, the Nasdaq Composite was up 207.82 points, or 1.75 percent, at 12,095.27, the S&P 500 was up 48.93 points, or 1.19 percent, and the Dow Jones Industrial Average was up 253.68 points, or 0.75 percent, at 34,144.70.
