Dow Dumps 500 Points As Powell Fails To Save The Day

The Dow is down over 500 points as the hope that Fed Chair Jerome Powell would rescue the world with a few brief dovish words... is crushed.

Fed Chairman Jerome Powell, in his prepared remarks, points out the FOMC at the last meeting upgraded its forecasts and expects a “strengthening in the medium term outlook.” It’s really interesting that he points out that strong global growth has boosted U.S. exports without at all mentioning the elephant in the room: the possibility of a disruptive trade war with China and perhaps other countries. As Bloomberg notes, the fact that he is not focused on this publicly is very consistent with the idea that the Fed will raise rates in June and several times this year.

Half the Wednesday surge has evaporated...

 

All major indices are in the red for the week...