Stocks around the world were lower Tuesday as investors awaited comments by Federal Reserve chair Janet Yellen for signs on the pace of interest rate increases in the world’s largest economy.
The Fed head will speak to U.S. lawmakers in Washington starting at 10 a.m. to deliver the central bank’s Monetary Policy Report, a twice-a-year document that outlines the Fed’s view on which way the U.S. economy is headed, and by extension what direction the Fed is leaning in with regards to interest rates.
North American stock markets have roared to all-time highs since Trump was elected, but in recent weeks there are signs the rally is running out of steam as the spectre of protectionism grows.
“A growing number of investors are worried that potential trade wars with Mexico and China could lead to tariffs and higher prices,” David Woo of Bank of America Merrill Lynch said in a research note. “With many investors having loaded up on Trump trades after the elections, their willingness to continue to give the benefit of doubt to the new administration appears to be wearing thin
Lawmakers are sure to press the Federal Reserve chair to spell out how the central bank might react to the ambitious economic program Trump is preparing to unveil soon.
More to come
With files from The Associated Press
“);
gigya.socialize.getProviderShareCounts({
callback:window.printSocialCounts,
context: container
});
};
window.onSendDone = function (event) {
if(event.providers) {
var providers = event.providers.split(“,”);
for(i = 0; i
