Powell to Volatile Stock Market: You’re on Your Own, for Now
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A relatively calm day on the stock market turned turbulent after Jerome Powell made clear the Federal Reserve remains on war-footing against inflation, even if that means risk assets suffer.
It was a message equity investors weren’t expecting after two weeks of volatility following President Donald Trump’s unveiling of punitive tariffs on scores of countries. A violent selloff that gave way to the best one-day rally since 2008 had investors anticipating the Fed chair would indicate a willingness to step in if the economy showed signs of weakness.