Analysts expect Powell to announce the committee’s policy shift to Average Inflation Targeting. We discussed the concept earlier this week. It is as it sounds; inflation has run below the Fed’s 2% target for an extended period.
The Nasdaq-100 index closed at a fresh record yesterday, and the S&P 500 battled to settle positive, 1% off its overnight low. This sounds like a healthy session, but not for anything other than tech behemoths.
In recent weeks, there have been mixed messages from China’s central bank; reports have signaled the potential of both more direct measures and a tighter approach as the economy recovers. With the U.S.-China relationship falling apart at the seams, news of China’s stimulus boosted the Shanghai Composite index by 2.34% overnight.