Stocks and Bonds Climb as Powell Sticks to Script: Markets Wrap
- Powell reiterates Fed needs confidence on inflation to cut
- NYCB whipsaws after raising more than $1 billion in equity
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Wall Street traders breathed a sigh of relief, with Jerome Powell once again signaling he expects the Federal Reserve to cut rates this year — even as a strong economy keeps officials on hold for now.
Stocks and bonds rose as investors took his remarks as a “no news is good news” development. Investors also kept a close eye on regional banks, with New York Community Bancorp erasing a 47% intraday tumble and closing 7.5% higher on news it was raising over $1 billion in equity to shore up investor confidence.