[Condiciones del mercado de EE. UU.]Stocks Highest, Government Bond Yields Declining -FOMC Policy Maintain-Bloomberg

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The US stock market rose on the 17th. The S&P 500 stock index and the Dow Jones Industrial Average reached their highest levels. Long-term U.S. bond yields have risen but have left elevated levels during the day.Despite mounting inflation concerns, the Federal Open Market Committee (FOMC) says interest rates will be high for at least 2023 .The background is that it is expected to continue to hold near zero.

The Chairman of the Federal Reserve Board of Governors (FRB), Powell, reiterated his desire for inflation to exceed 2%. He said the recent surge in government bond yields was not chaotic. S&P 500 rates increased primarily in consumer goods, capital goods, and materials brands.

S&P 500 species increased 0.3% from the day before to 3974.12. The Dow Jones industrial average rose $ 189.42 (0.6%) to $ 33,015.37. The Nasdaq Composite Index was up 0.4%.

“Overall, there was great relief for stocks, despite both the financial authorities and Congress taking both large and double stimulus measures,” said Mike Bailey, head of research at FBB Capital Partners. That’s because interest rates are likely to stay close to zero in the long run. “

As of 4:59 pm New York time, the US Treasury yield has risen 2 basis points (bp, 1 bp = 0.01%) to 1.64%. At one point, there was a scene where 1.69% was added. The 30-year bond temporarily reached its highest level since 2019.

The dollar has fallen in the foreign exchange market. The background is that the FOMC revised up its economic outlook, maintaining the zero interest rate outlook. Powell suggested that this was not the time to think about rate hikes. “Communication from the FOMC is quite subdued so far,” Credit Agricole’s Valentin Marinov said.

The Bloomberg Dollar Spot Index, which shows the movement of the dollar against the top 10 currencies, fell 0.5%. The dollar is down 0.2% against the yen to $ 1 = 108.84 yen. Before the FOMC was decided, there was a scene where the FOMC was temporarily charged for 109.33 yen. The euro is up 0.6% against the dollar to 1 euro = $ 1.1799.

New York crude oil futures prices continue to fall. Although the rate of decline slowed after the FOMC policy decision, it did not move into positive territory due to the increase in crude oil inventories announced by the US Energy Information Administration (EIA). zero interest rate outlook and the dollar falls. The investment attractiveness of dollar-denominated products has increased.

The April contract for West Texas Intermediate (WTI) futures on the New York Mercantile Exchange (NYMEX) ends at $ 64.60 a barrel, 20 cents less (0.3%). The May contract for Brent North Sea in London ICE fell 39 cents to $ 68.