Stocks rebound, yields fall as Fed’s Powell soothes market – Reuters

Stocks rebound, yields fall as Fed’s Powell soothes market – Reuters

NEW YORK/LONDON, July 14 (Reuters) - Global stocks prices closed flat and bond yields edged lower on Wednesday after U.S. Federal Reserve Chair Jerome Powell soothed investor angst by saying a recent inflation spike will fade, helping lift the S&P 500 to a fresh intraday record.

Powell said in congressional testimony that high inflation was for goods and services tied to the reopening and the U.S. economy was "still a ways off" from levels the Fed wanted to see before tapering its stimulus support. read more

Powell's remarks relieved investors who were concerned inflation data would prompt the Fed to signal the beginning of tapering, said Michael Arone, chief investment strategist at State Street Global Advisors in Boston.