Home » today » Business » The Federal Reserve maintains a cautious approach – 2024-04-20 22:50:59

The Federal Reserve maintains a cautious approach – 2024-04-20 22:50:59

U.S. Federal Reserve Board Chairman Jerome Powell answers a question from the media during a news conference following a meeting of the Federal Open Market Committee at the Federal Reserve Board Building Federal Reserve William McChesney Martin Jr. in Washington, DC, US, March 22, 2023. Powell announced an interest rate increase of 0.25 percentage points. (Open, United States, Rome) EFE/EPA/SHAWN THEW

Wall Street closed this Tuesday in mixed territory and its main indicator, the Dow Jonesrose 0.17% in a day marked by new signs of prudence from the Federal Reserve.

At the close of the session, the Dow Jones stood at almost 37,799 points, boosted by UnitedHealth (5.2%), which reported quarterly losses due to a cyber attack but also a well-received 9% increase in revenue.

The S&P 500 fell 0.21%, to 5,051 units, and the Nasdaq 0.12%, to 15,865 points.

The president of the Reserva Federal (Fed), Jerome Powellsaid this Tuesday that the recent spikes in inflation, in February and March, do not suggest that it is under control or on track to meet the central bank’s goal.

“We will need greater confidence that inflation is moving sustainably towards 2% before it is appropriate to relax policy.”Powell said, reiterating his “cautious” approach to managing interest rates.

After this new splash of cold water on expectations of a rate cut, which seems increasingly distant, the yields on ten-year Treasury bonds touched 4.7%.

Apart from that, the market reacted to the quarterly results of financial companies Bank of Americawhich fell 3.5% as it reported a drop in profits and revenues, and Morgan Stanleywhich rose 2.5%, beating estimates.

By sector, losses predominated and were led by real estate companies (-1.53%) and public services companies (-1.36%), while the largest gain, 0.23%, was for technology companies.

The most affected of the Dow Jones were Johnson & Johnson (-2,13 %), Apple (-1,92 %) y Honeywell (-1,71 %).

He texas oil It closed at $85.36 per barrel and, at the close of the stock market, gold rose to $2,404 per ounce and the euro was trading at $1.0615. EFE (I)

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