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US indices trade lower as Powell gives evidence to Senate

  • Regular
  • US Market
  • 3 weeks ago
  • 15

U.S. indices closed the session on a lower note as the Fed’s chief Jerome Powell gave evidence before Senate where he once again explained as to why the reserve is keeping a patient approach on interest rates.

Powell’s comments come as some economic data have pointed to slower U.S. economic growth, even as a reading for confidence shot higher.

Hence, the DJIA dropped lower by 0.1% while the S&P 500 and Nasdaq both shed 0.1% and 0.7% respectively.

In testimony before the Senate Banking Committee Powell said that “some economic data have softened,” of late, helping to justify the central bank’s decision to take a breather from further rate increases.

At the same time, he said “the job market remains strong,” and that “we are seeing signs of stronger wage growth,” a trend that could have some members of the Fed’s interest-rate committee eager to raise rates in an effort to head off any resulting inflation.

 

 

Source: Smart Trend Team