World stocks recover from sell-off and US treasury yields rise on Fed comment
US Fed chairman Jerome Powell repeats the case for gradual rate hikes; the euro stays lower against the dollar after comments by ECB’s Mario Draghi
New York — Stocks on world markets edged higher on Wednesday, recovering from a recent sell-off on rapidly escalating China-US trade tensions, while US treasury yields rose after the US Federal Reserve chairman said it should continue with a gradual pace of interest rate increases. US Fed chairman Jerome Powell said the pace should stay the same given that the labour market does not seem to be overly tight. The S&P 500 edged higher along with the Nasdaq, with tech shares providing support. Boeing also rose after selling off on trade war worries the day before. "A lot of people believe the track that the [US] president is taking is a negotiation tactic, and the people who still think the trade war will develop, believe it would be China that comes to the table with concessions first," said Robert Pavlik, chief investment strategist and senior portfolio manager at SlateStone Wealth in New York. The Dow Jones Industrial Average erased its year-to-date gains on Tuesday after US Presiden...
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