US Markets Surge as Powell Confirms Rate Cut, Anticipation Builds for Jobs Report

US Markets Surge as Powell Confirms Rate Cut, Anticipation Builds for Jobs Report



Photo of Federal Reserve Chair Jerome Powell on a blue background with a upward trending line graph

Drew Angerer/Getty Images; ‍BI

US stocks surged on Thursday following reassuring comments from Fed Chair Powell about potential delays in rate ⁣hikes.

Investors eagerly await ⁤the March jobs report on Friday for​ more insight into the expected pace of rate adjustments.

New ​data revealed an increase in jobless ‍claims last‌ week, reaching the⁣ highest ‌level since January.

Fed Chair Jerome Powell’s speech at Stanford University on Wednesday reiterated that despite ⁤early 2024’s higher inflation, the “overall picture” remains unchanged. He ‍emphasized the⁢ need ⁣to lower “restrictive” policy rates within⁤ the year.

Market expectations now indicate ⁤a 60% likelihood of at least one ​rate cut by June, a decrease from around three-quarters⁢ odds a month ago, according to CME’s FedWatch Tool.

Meanwhile, new data showed initial jobless claims⁢ rose last week ⁢to the highest since January. Initial claims…

2024-04-04 ⁣17:02:04
Link from finance.yahoo.com

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