(Seoul = Yonhap Infomax) Reporter Kim Ji-yeon = European stock markets opened lower on the 9th, digesting the remarks of Federal Reserve Chairman Jerome Powell, highlighting concerns about the hawkish Fed.
According to the Yonhap Infomax World Stock Index (screen number 6511), as of 5:18 pm (Korean time), the Euro Stoxx 50 index fell 11.75 points (0.27%) to 4,276.70.
France’s CAC40 index fell 0.18% to 7,311.87, while Italy’s FTSE MIB index fell 0.05% to 27,897.17.
The FTSE100 index of the London stock market in the UK traded at 7,898.16, down 0.40%, and the DAX30 index of the Frankfurt stock market in Germany traded at 15,620.32, down 0.07%.
Chairman Powell appeared at the Senate semi-annual monetary policy report last night and said, “No decision has yet been made regarding the regular meeting of the Federal Open Market Committee (FOMC) in March,” adding, “The range of interest rate hikes will be determined according to indicators.”
However, as economic indicators such as the February ADP employment report released on the same day appeared to be solid, concerns that the Fed would raise interest rates by 50bp at its March meeting grew. Some even predicted that the Fed’s final rate would reach 6%.
According to the ADP National Employment Report, private sector employment increased by 242,000 in February from the previous month, exceeding the 205,000 increase expected by analysts compiled by the Wall Street Journal.
The fact that China’s consumer price index rose only slightly in February, which was announced this morning, also highlighted concerns that consumption recovery was slow despite China’s reopening, putting downward pressure on the index.
China’s consumer price index (CPI) rose 1.0% year-on-year in February, below the market expectation of 1.9%.
Markets are looking to the February nonfarm payrolls data to be released on the 10th for further hints about the Fed’s rate decision.
jykim@yna.co.kr
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This article was served at 17:32, 2 hours earlier on the Infomax financial information terminal.
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