Hello everyone !
US stock indices futures are trading lower. The DJI is down 0.4% in volatile trading on Wednesday ; S&P is down 0.2% . The NQ index was little changed , helped by Microsoft 's post - publication earnings.
The 10-year Treasury bond yield rose above 1.8% after Powell's comments as market participants took them as a signal that the central bank could be more aggressive in tightening policy . The FED also indicated in a separate statement that it will start to reduce its balance sheet after the rate hike , a further tightening that many traders probably hoped the central bank would refrain from.
From a technical point of view , we are seeing the first meaningful correction in 20 months . I don't think we should jump to conclusions about a trend change. A correction always happens when we least expect it and lasts longer than we would like.
Previously markets have done fine with higher interest rates !
🔥Trading losses , like profits , only occur when an investor closes a trade. Not making hast