Photo: Drew Angerer / Getty Images North America / Agence France-Presse
Pushed by the comforting words of the boss of the us central Bank, Wall Street has ended sharply higher Friday.
Wall Street has ended sharply higher Friday, pushed by the remarks that were deemed supportive of the boss of the us central Bank Jerome Powell on the rate, as well as a solid employment in the United States and of the chinese measures.
According to the final results, the Dow Jones Industrial Average jumped 3.29 % to 23.433,16 points.
The Nasdaq, in high coloring technology, has advanced 4.26% to 6.738,86 points.
The expanded index S & P 500 has gained 3,43 % to 2.531,94 points.
The boss of the Fed has restored the smile to investors disoriented these past few weeks, with the policy rate increases of the institution.
At a conference in Atlanta, Georgia, bringing together the current chairman of the Fed and its two predecessors, Mr. Powell has said that ” monetary policy is not on a trajectory pre-determined “.
“We are always prepared to change the course of our monetary policy significantly, if necessary,” continued the president of the central Bank, in reference to the policy rate hikes and the concerns that it raises from investors.
“Mr. Powell has greatly reassured about his flexibility,” said Gregori Volokhine of Meeschaert Financial Services.
“These are subtle details but the central bankers are very constrained in their ability to change their communication between official meetings “, said Chris Low of FTN Financial. He added that ” these are the items that the markets needed to hear “.
Vilified in recent days by Donald Trump because of its choice monetary, Mr. Powell has also stated that he would not resign if the president asked him.
Before speaking of Mr. Powell, Wall Street had already started the session off to a good start thanks to the traditional monthly report to us on job creation, which was deemed “spectacular” by the analysts of Pantheon Marco.
In December, 312 000 jobs have been created, the average hourly wage has increased strongly, and the increase in the rate of unemployment rate of 3.9 % has been linked to an increase in the rate of participation in employment, an item that is also perceived positively.
Wall Street, as the financial markets across the world, had also benefited from the announcement of the chinese central Bank (PBOC) measures to support the economy of the country in a context of trade war between Beijing and Washington.
The appetite returned to investors for riskier assets, was significantly set back the u.s. bond market, the reverse of Thursday’s session : the interest rate on the debt to ten years rose to 2,659 % to 16 h 20, against 2,554 % Thursday, to close and one to 30 years 2,972 %, compared to 2,903 %.