Stocks pick up after Fed says will keep rates low accesswdun.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from accesswdun.com Daily Mail and Mail on Sunday newspapers.
Stock
closed higher Wednesday, reversing an early slide after the Federal Reserve reassured Wall Street that it expects to keep its key interest rate near zero through 2023.
The central bank’s renewed commitment to keeping rates at rock bottom lows comes even as its latest economic forecast calls for growth of 6.5% this year and for inflation to above 2% for the first time in years. Wall Street has been anxious about the potential for higher inflation and has been looking for signs that the central bank shares investors’ concerns.
Fed Chair Jerome Powell’s remarks during a news conference appeared to do the trick. Major stock indexes had been down for most of the day, led by another wave of selling in technology companies as bond yields rose, driving the closely watched 10-year Treasury yield to 1.64%, the highest level since February, 2020.
By YURI KAGEYAMA
AP Business Writer
TOKYO (AP) â Asian shares were mixed Wednesday as world markets cautiously awaited the U.S. central bank s latest comments on the economic outlook.
Japan s benchmark Nikkei 225 inched up nearly 0.1% to 29,948.69. South Korea s Kospi slipped 0.8% to 3,041.72. Australia s S&P/ASX 200 dipped 0.8% to 6,772.60. Hong Kong s Hang Seng edged up 0.1% to 29,057.59, while the Shanghai Composite was little changed, recouping early losses, gaining less than 0.1% to 3,448.53.
Investors are awaiting the Federal Reserveâs latest economic and interest rate projections, expected later in the day. Economists expect Fed Chair Jerome Powell will try to convince jittery financial markets that the central bank can continue providing support without igniting higher inflation.
Global shares slip ahead of Fed view on US economic out accesswdun.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from accesswdun.com Daily Mail and Mail on Sunday newspapers.