Stocks Surge After Trump Comments on Powell
Economy / Finance

Stocks Surge After Trump Comments on Powell

US equity markets saw gains on Wednesday, bolstering investor confidence. The Dow Jones Industrial Average closed at 44,255 points, marking a 0.5% increase compared to the previous trading day.

Shortly before the closing bell in New York, the broader S&P 500 reached approximately 6,260 points, registering a 0.3% gain. The Nasdaq 100 index stood at around 22,908 points, up by 0.1% at that time.

The market reaction followed recent developments related to the Supreme Court’s May ruling concerning the authority of the US President to dismiss members of independent agencies, specifically excepting the Federal Reserve. While the ruling itself generated uncertainty, particularly in light of repeated, pointed statements made by President Donald Trump regarding Federal Reserve Chair Jerome Powell, Wednesday’s assurance from the President stating he does not intend to dismiss Powell seemed to alleviate some of that anxiety amongst investors. Powell’s term at the helm of the central bank concludes next year and the President’s commentary may nonetheless influence potential successor considerations.

The euro strengthened against the US dollar on Wednesday evening, trading at $1.1636, with the dollar worth €0.8594.

Gold prices benefited from the market dynamics, reaching $3,348 per fine ounce in the evening, a 0.8% increase. That equates to €92.50 per gram.

Crude oil prices also saw a slight uptick. Brent crude, a North Sea variety, was trading at $68.74 per barrel late Wednesday, approximately three cents higher than the close of the previous trading day.