Powell’s soothing reassurances are not enough to calm inflation-spooked US markets
Federal Reserve Chairman Jerome Powell's recent statements about potential interest rate cuts didn't fully reassure US investors amidst inflation uncertainties. Powell hinted at rate reductions, alleviating concerns of further hikes, but market scepticism persists due to past surprises. Investors anxiously await upcoming economic data, particularly the U.S. employment report, which could sway rate cut expectations. The market's volatility underscores the importance of closely monitoring economic indicators for potential Fed actions.
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SOURCE: REUTERS
By David Randall and Davide Barbuscia
NEW YORK, May 2 (Reuters) – Federal Reserve Chairman Jerome Powell's reassuring message following the central bank's monetary policy meeting may not calm frazzled U.S. stock and bond investors, as uncertainty over the path of inflation intensifies the focus on upcoming data.
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