Investors Baffled After Powell Turbocharges Slide in US Rates
- Franklin Templeton’s Sonal Desai is wary of conditions easing
- AXA Investment’s Iggo says shifting market momentum is hard
Jerome Powell
Photographer: Samuel Corum/BloombergThis article is for subscribers only.
Federal Reserve Chair Jerome Powell confounded some on Wall Street this week by pouring lighter fluid over a market that was already betting on a pivot in monetary policy.
Bonds and share prices have surged since Powell on Wednesday let slip that policymakers had discussed interest-rate cuts, a signal that his remarks — whether he meant them to or not — have further loosened financial conditions.