France's CAC 40 shed 0.2% to 7,325.65 in early trading. Britain's FTSE 100 dipped 0.3% to 7,898.54. Germany's DAX inched down less than 0.1% to 15,555.97. U.S. shares were set to drift higher with Dow futures up 0.1% at 32,901.00. S&P 500 futures rose nearly 0.1% to 3,993.25.
Fed Chair Jerome Powell told lawmakers that the central bank would keep interest rates higher if need be to fight inflation. Higher rates can drag down inflation because they slow the economy, but they hurt prices for stocks and other investments. They also raise the risk of a recession later on. "If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," Powell said. "Restoring price stability will likely require that we maintain a restrictive stance of monetary policy for some time."
The U.S. government's monthly jobs report, due Friday, will provide an update on wages. The Fed's fear is that too-strong gains could push prices higher.
Or because you don't do journalisim I've viewed two different doctors, saying precisely the same thing in 2021 and 2022. Both are supported by verified sources Russek B & Jordan P. If it was fake, they would have been held to account
Looks like bankofcanada will have to reassess their approach too.