Former Federal Reserve Chairman Alan Greenspan remarked in the 1980s that if he made himself clear when talking about future interest rates, you must have misunderstood.
But that was enough to push up bond yields again–the 10-year yield is around 4.6% Friday after falling as low as 4.5% earlier in the week. A Treasury auction that suggested weak demand helped push borrowing costs higher, and worries about another government shutdown might have added to jitters. Whatever the reason, higher bond yields have been poisonous for stocks over the past few months.
***Central Bank Officials Won’t Declare End to Rate Increases Federal Reserve Chairman Jerome Powell said it isn’t time yet to declare the end of interest rate increases. Fed officials aren’t fully confident monetary policy is sufficiently restrictive enough to bring inflation back to its target level of 2%, he said during a conference panel discussion in Washington.
What’s Next: Plug Power is waiting anxiously for details about a planned tax credit for hydrogen production in the U.S., which could help its clean-hydrogen plans. However, in the meantime it could face tougher conditions on a potential debt-financing or project-partnership deal to overcome its funding difficulties.