Powell’s Hawkish Remarks Shake Markets: Stocks Fall, Dollar Rockets, Bitcoin Dips
Federal Reserve Chair Jerome Powell‘s unexpectedly hawkish remarks on Thursday sent markets into a tailspin. Major U.S. equity indices closed in the red, and the dollar soared for a fifth consecutive session.
In a speech to Dallas business leaders, Powell highlighted the remarkable strength of the U.S. economy, indicating that there’s no need for the Fed to “be in a hurry to lower rates.”
He reiterated the central bank’s commitment to reaching its 2% inflation target, stressing the need for careful decision-making as inflation remains above desired levels.
He highlighted productivity gains, which he said have “grown faster over the past five years than at any point in the two decades preceding the pandemic,” positioning the U.S. economy as “the best-performing among major economies.”
Addressing the October producer price index (PPI) uptick, Powell labeled it “more than an upward bump” but maintained confidence …
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