Input 2021.03.05 06:25 | Revision 2021.03.05 06:53
On the same day, the Dow Jones 30 Industrial Average on the New York Stock Exchange (NYSE) closed at 3924.14, down 1.11% from the battlefield.
The Standard & Poor’s (S&P) 500 index closed at 3768.47, down 1.34% from the previous day, while the technology stock-oriented NASDAQ index ended at 12,723.47, down 2.11%.
On this day, the mayor paid attention to Chairman Powell’s’mouth’. At an event hosted by the Wall Street Journal (WSJ), he announced that he would maintain easing monetary policy for a considerable period of time, but did not ease market concerns over rising interest rates. He only said it “catches the eye” of the recent increase in government bond rates.
Powell also said that it is unlikely that the central bank will raise interest rates if inflation prolongs or if full employment is not achieved. “To raise interest rates, the economy must return to full employment,” he said. “Inflation will have to reach a sustainable level of over 2%.”
CNBC assessed that he made investors anxious over his remarks that “there is some pressure to increase inflation due to the underlying effect if economic activity resumes.”
Immediately after Chairman Powell’s remarks, the 10-year Treasury bond yield soared to the mid-1.5% intraday, and all major indexes that had risen turned downward.