Global Equities Rise as Rate Hike Bets Jump After Warsh Speech

MacroDigital Finance Impact 4

โดย Reuters·

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Global equities rose alongside short-dated Treasury yields and the dollar on Friday as traders increased bets on a Federal Reserve interest rate hike following a speech by Fed Chair Kevin Warsh at Jackson Hole. Warsh said the central bank will "have work to do" if policymakers are not confident that underlying inflation is returning to its 2% target, and he acknowledged that financial conditions do not appear restrictive. After his remarks, the probability of a rate hike at the September meeting jumped to 55.7% from 35.4% on Thursday, according to CME Group's FedWatch tool. The Dow Jones Industrial Average rose 162.95 points, or 0.30%, to 53,732.39, the S&P 500 gained 29.12 points, or 0.38%, to 7,760.11, and the Nasdaq Composite added 111.40 points, or 0.41%, to 26,652.75. The 2-year Treasury yield climbed 7.84 basis points to 4.312%, while the dollar index rose 0.36% to 99.47. Oil prices drifted lower, with U.S. crude falling 0.63% to $83.00 a barrel, and gold slipped 0.61% to $4,572.99 an ounce.

Effective Federal Funds Rate ▲US Government Bond 2Y ▲United States Government Bond 10Y ▲