Official mention of “It will take more than 3 years to reach the price target”
Seohak ant symbol’Game Stop’ may skyrocket more than 100%
Chairman Powell attended a hearing on the US House of Representatives Financial Services Commission on the 24th (local time). / Photo = AP
Jerome Powell, Chairman of the US Central Bank (Federal Reserve System)Photo), the New York Stock Market rebounded sharply. On the 24th (local time), Powell’s remarks dismissing inflation concerns, the Dow Jones 30 industrial average index hit a record high based on intraday and closing prices.
On that day, the Dow Jones Index ended the trade at 31,1961.86, up 424.51 points (1.35%) from the battlefield. The Standard & Poor’s (S&P) 500 index also rose 44.06 points (1.14%) to 3925.43, and the NASDAQ index also rose 132.77 points (0.99%) to 13,597.97.
As the interest rate of 10-year U.S. Treasury bonds soared to 1.4%, the highest level since February of last year, the main index, which had weakened, turned upward at the same time as Chairman Powell’s remarks at a hearing in the House of Representatives.
Powell said it could take three years or more to reach the US central bank inflation target in attendance at the House Financial Services Commission on the same day. The remarks dismissed some concerns about inflation, suggesting’maintaining zero interest rates for a long time’.
The US central bank has repeatedly issued easing messages, but there was anxiety in the market that if inflation actually rises, the timing of austerity will also be accelerated. Powell’s direct remarks on this day gave the market a clear belief that a easing monetary policy would be maintained for a long time.
The New York Stock Market was also on the decline the day before, but when Chairman Powell said at a Senate hearing that “the US economic recovery is incomplete,” he made up for the decline when he said he would maintain the current level of zero interest rates for the time being.
On that day, stocks sensitive to economic cycles such as Boeing’s stock price of 8.1% and Chevron’s 3.7% rose, and financial stocks such as Goldman Sachs (3.6%) and Visa (3.5%) also rose sharply. In conjunction with the bitcoin market price, Tesla also rebounded 6.2% after a significant adjustment recently.
In particular, GameStop, which fell sharply after a surge in stock prices at the end of last month as a symbol of the’Seohak ant rebellion’, surged again by 104% on the same day alone, and trading was stopped at the last minute.
Reporter Kim Bong-gu, Hankyung.com [email protected]
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