Why ‘quantitative tightening’ is the wild card that could sink the stock market

Quantitative monetary easing is credited with boosting stock returns and boosting other speculative asset values ​​by flooding markets with liquidity as the Federal Reserve clawed back billions of dollars worth of bonds during the crisis financial crisis of 2008 and the coronavirus pandemic of 2020 in particular. Investors and policymakers may be underestimating what happens … Read more

Stocks slide in volatile trading as investors brace for further big rate hikes

New York CNN Business — Welcome to the lazy, crazy days of summer on Wall Street. Shares fell again on Monday in a choppy session. So it looks like investors weren’t quite ready to buy the proverbial drop in the absence of any major news. The Dow ended Monday down nearly 185 points, or 0.6%. … Read more

Fed Chief Powell ‘did what he had to do’ in Jackson Hole, says Larry Summers

“ “The Fed is positioned as well as it can be – given the credibility losses and mistakes that have been made – with these remarks to handle things going forward.” ” —Larry Summers On Friday, former US Treasury Secretary Lawrence Summers praised the Federal Reserve, saying Fed Chief Jerome Powell’s latest pledge to contain … Read more

‘There is no pivot from the Fed’: Wall Street finally gets the message as stocks slump after Powell speech

Federal Reserve Chairman Jerome Powell’s brief but candid speech in Jackson Hole on Friday sparked a sharp sell-off in stocks and other financial assets as Wall Street reacted to his vow to bring inflation down central bank’s 2% target. The S&P 500 SPX, -3.37% finished 141.46 points lower, or 3.4%, at 4,057.74. The Dow Jones … Read more

Financial markets brace for what could be a ‘very hawkish’ Jackson Hole speech from the Fed’s Powell

Financial markets are bracing for Friday’s highly anticipated Jackson Hole speech by Federal Reserve Jerome Powell and expect him to signal the continued need for aggressive interest rate hikes to fight inflation despite the risks for economic growth. That’s the general conclusion of analysts, economists and investors on the eve of Powell’s remarks, a day … Read more

Gold price and silver price explode ahead of Jackson Hole, here’s what to expect from Powell’s speech

(Kitco News) After a poor start to the week, the precious metals sector is rebounding as markets continue to calibrate for Federal Reserve Chairman Jerome Powell’s keynote address at the Jackson Hole symposium. Gold and silver rallied impressively on Tuesday as the US dollar index retreated from 20-year highs and bargain hunters arrived after last … Read more

Disappointing US data prompts traders to consider possible Fed half-point rate hike in September

In the blink of an eye on Tuesday, the U.S. bond market’s focus shifted to fears of a sharp and unexpected economic slowdown and away from persistently high inflation for most of the day. negotiation. This shift in sentiment came after data showed the U.S. new home sales plunged in July to its lowest level … Read more

Dow stocks fall on fears of another big Fed rate hike

New York CNN Business — We might as well hope that the Federal Reserve will rein in its aggressive interest rate hikes. Shares fell on Monday as investors began to fear again that the central bank could raise rates by three-quarters of a point next month. The Dow ended the day with a loss of … Read more

‘Recession remedy’ divides economists

New York CNN Business — The US economy is on a knife edge, potentially already in recession after a second quarter of activity in decline. But the indicators are mixed, fueling uncertainty about the way forward. At the heart of the debate between economists and policymakers is a fundamental question with massive implications for America’s … Read more

Was the Fed’s Powell dovish or not? 4 key points from Wednesday’s press conference

Investors reacted as if Fed Chairman Jerome Powell’s Wednesday press conference was dovish, but many economists believe it was on the hawkish side of the street. Here are some of the key takeaways from Powell’s hour-long discussion with reporters about the state of the economy and central bank policy: Lily: Fed raises rates to tackle … Read more