Fed’s market impact: Powell tackles work and inflation
As the Federal Reserve celebrates its 75th anniversary, investors are eagerly anticipating Chairman Jerome Powell’s speech.
Cheddar Opening Bell
US stocks traded cautiously a day after the Broad S&P 500 index went positive for a year after falling in the aftermath of the tariff rollout in April.
At noon in New York, the Dow Jones industrial average rose 14 points at nearly 42,154, while the S&P 500 rose 12 points at nearly 5,898. The high-tech Nasdaq jumped 0.7%, or about 130 points, to 19,140.
Stocks were boosted early in the week after the US and China announced a 90-day suspension on several tariffs. On Wednesday, US tariffs on Chinese goods fell from 145% to 30%, while Chinese tariffs on US goods fell from 125% to 10%. Lower tariffs reduce the chances of the US economy falling into a recession, according to economists.
Benchmark US 10 Year Notes were chopped at just 4.507% at noon.
Business News
- Tech stocks continued their rally after the Trump administration rolled back regulations on chip exports. The Invesco PHLX Semiconductor ETF was nearly 1% higher at noon.
- Stocks in Crypto Exchange Coinbase rose on the second day since it was announced that the stock would be included in the S&P 500.
- Super Micro Computer shares skyrocketed after announcing its agreement with Saudi data centre company DataVolt.
- Boeing’s shares rose nearly 2% after Qatar announced plans to buy the 160 planes, a record-breaking order, during a visit from President Donald Trump.
Economic News
- Oil prices fell after OPEC said it expected low demand for oil from the US.
- Federal Reserve Vice Chair Philip Jefferson on Wednesday reiterated that while continuing progress towards adjusting inflation, there is “a lot of uncertainty” about the future path for price rises. Jefferson spoke at an event hosted by the New York Fed.
