The Dow Jones Industrial Average lost more than 600 points following Powell’s speech, equivalent to a 1.8% drop. The S&P 500 and Nasdaq Composite both saw substantial losses for the day, down 3.4% and 3.9% respectively. Powell also warned there may be “some pain” in the U.S. economy as the Fed weighs yet another interest rate hike in its September meeting. The Fed raised its benchmark rate by 75 basis points in both June and July, the largest consecutive increases since the central bank began using the rate as its primary monetary tool in the 1990s. Whatever decision the Fed lands on will have cascading effects up and down equity markets, according to Shrey Dua. . . .
Read more at investorplace.com
