U.S. stocks sold off and Treasuries retreated as investors weighed Federal Reserve Chairman Jerome Powell’s assessment that the central bank won’t rush to raise rates even though he expects the economy to pick up steam. The dollar advanced.
All major equity gauges were lower, with the S&P 500 Index reversing an early gain and retreating for the first time in three days. The 10-year Treasury yield spiked on Powell’s seemingly hawkish tone and held above 2.9 percent.
Powell’s testimony signaled optimism in economy, while data on durable orders fell well short of estimates and the U.S. balance of trade worsened.
The S&P 500 was down 0.4 percent at 11:43 a.m. in New York. The Nasdaq Composite Index dropped 0.7 percent.
Source : Bloomberg