World stocks lack direction after US Fed’s lack of guidance
Japanese shares dropped, with the Nikkei 225 down 1.4%, on the prime minister’s resignation, sending the yen up and the dollar down
28 August 2020 - 12:02
London — Stock markets struggled for direction on Friday as investors worried about a lack of detail in the US Federal Reserve’s policy shift while Japanese markets were roiled as Prime Minister Abe Shinzo resigned for health reasons.
The Fed’s widely awaited shift in its policy framework, unveiled on Thursday, saw the central bank place more emphasis on boosting economic growth and less on worries about letting inflation run too high. The policy aims for 2% inflation on average so that too low a pace would be followed by an effort to lift inflation “moderately above 2% for some time”...
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