News Highlights: Top Global Markets News of the Day
|09/21/2020 | 06:16pm|
Powell Says Swift Government Action Averted Deeper Economic Downturn
Federal Reserve Chairman Jerome Powell said the economic response to the coronavirus alleviated the fallout from the pandemic-induced recession but suggested Congress would likely need to spend more money to shore up parts of the economy.
Stocks Decline Sharply; Dow Drops More Than 500 Points
The Dow industrials dropped 1.8%, falling in tandem with oil and gold prices. Investors see dwindling prospects for a new stimulus package amid the campaign season.
CBO Downgrades Long-Term Projections of Economic Growth
The federal government has the capacity to borrow more if Congress chooses, despite high and rising federal debt, Congressional Budget Office Director Phillip Swagel said.
Fed's Kaplan Worries New Fed Rate Guidance Ties Policy Makers' Hands
Dallas leader Robert Kaplan said new guidance on the future of interest rates may complicate Fed officials' future decision making and stoke risk taking in financial markets.
Commodity Prices Retreat, Hurt by Dollar's Advance
Oil prices dropped on fears that some of Libya's long-blockaded crude would return to the market, adding to the global glut. The losses spilled from industrial commodities into precious metals.
Fresh Surge in U.S. Covid-19 Cases Is Feared as Death Toll Nears 200,000
The U.S. reported 39,844 new coronavirus cases and was closing in on 200,000 deaths, amid fears that the country was heading for a new wave of infections.
U.S. Household Net Worth Hits Highest Level Ever
The net worth of American households and nonprofit organizations jumped 6.8% in the second quarter from the first, to $118.96 trillion.
Bank Investors Disregard Revelations of Suspicious Activity
Why it makes sense that European bank investors have shrugged off revelations of possible money laundering.
Fed Moves to Overhaul Lending Rules for Poorer Communities
The Federal Reserve, following an earlier split between banking regulators, took an initial step to rewrite rules for hundreds of billions of dollars in lending and investment in lower-income neighborhoods.
Wall Street-Backed Exchange Launches as Rival to NYSE, Nasdaq
Traders and analysts expect MEMX, a new exchange backed by Wall Street banks, electronic-trading firms and asset-management giant BlackRock, to be a formidable competitor to the incumbent exchanges.