Stocks Climb After Fed’s ‘No Alarms, No Surprises’: Markets Wrap
- Powell signals Fed will raise rates if needed, keep them high
- Lagarde says ECB rates to be as high as needed for inflation
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Stocks rose as traders sifted through a raft of remarks from Federal Reserve speakers, with Jerome Powell saying officials “will proceed carefully” on whether to raise interest rates again, while signaling policy will remain tighter for longer.
The S&P 500 notched its best week since July. The yield on 10-year Treasuries fluctuated near 4.2%. The dollar was little changed. The euro failed to gain traction after Christine Lagarde said the European Central Bank will set borrowing costs as high as needed and leave them there for as long as it takes to bring inflation back to its goal.