Stocks Pare Gains on Bernanke Comments
Treasuries fell, the dollar rallied and U.S. equities trimmed gains after Federal Reserve Chairman Ben S. Bernanke’s remarks to Congress damped speculation of more quantitative easing.
The 10-year U.S. Treasury note yield increased three basis points to 1.98 percent and the Dollar Index rose as much as 0.3 percent after falling 0.2 percent earlier. The Standard & Poor’s 500 Index gained 0.2 percent at 10:19 a.m. in New York after rising as much as 0.4 percent earlier.
While Bernanke told Congress that keeping monetary stimulus is warranted, he said rising gasoline prices are likely to push up inflation temporarily and the drop in the unemployment rate has been more rapid than expected.
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