U.S. Stocks, Emerging Assets Rise on Fed Boost as Dollar Weakens
- Global equities all but erase 2016 loss on dovish Yellen
- Oil trims advance after U.S. inventories data; gold falls
Dovish Fed Chair Yellen Stresses Gradual Approach
Global equities rose, helping a benchmark index almost erase its losses for the year, while emerging-market currencies headed for their best month since 1998 amid a slump in the dollar as investors continued to scale back bets on higher U.S. interest rates.
The Standard & Poor’s 500 Index climbed as a Federal Reserve official signaled the central bank would tolerate above-target inflation instead of tightening policy too soon. The MSCI All-Country World Index rose to its highest level since Jan. 1, while Bloomberg’s Dollar Spot Index slid to a five-month low after Fed Chair Janet Yellen said Tuesday that slackening global growth called for a gradual approach to raising rates. U.S. crude pared gains of more than 4 percent after data showed American supplies rose last week.