Powell on Thursday cited continued economic growth, a strong labor market andInflation Above the central bank’s target of two percent as reasons for it to be cautious about the pace and scope of future interest rate cuts.
This view was reinforced by economic data released on Friday, which showed US retail sales rose slightly more than expected in October. Import prices also rebounded and data released on Wednesday and Thursday showed continued inflation.
During Friday’s session, the Standard & Poor’s 500 index fell by 1.32 percent to 5,870.52 points, while the Nasdaq Composite index lost 2.24 percent to 18,680.12 points. The Dow Jones Industrial Average also fell 0.70 percent to 43,444.99 points.
On a weekly basis, the Standard & Poor’s 500 index fell by 2.08 percent, while Nasdaq Composite Index by 3.15 percent, and the Dow Jones Industrial Average fell by 1.24 percent.
