Fed's Powell Says Firm Inflation Last Quarter Has Introduced New Uncertainty Over When And Whether The Fed Will Be Able To Lower Rates Later This Year
Portfolio Pulse from Benzinga Newsdesk
Fed Chair Powell's recent statement highlighted that the persistent inflation in the last quarter has introduced new uncertainties regarding the timing and possibility of the Federal Reserve lowering interest rates later this year.
April 16, 2024 | 5:41 pm
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Powell's comments on inflation and rate uncertainties may lead to increased volatility in the SPY as investors reassess their expectations for interest rate movements.
Given that SPY tracks a broad range of U.S. stocks, Powell's statement on inflation and the uncertainty over rate cuts could lead to market volatility. Investors might become cautious, leading to a short-term negative impact on SPY as they reassess the likelihood of continued supportive monetary policy.
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IMPORTANCE 90
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