Dollar Falls, Stocks Hit Record as Fed Seen Dovish: Markets Wrap
- Spanish assets rose as Rajoy started action against Catalonia
- Nikkei 225 advanced to the highest in almost twenty-one years
This article is for subscribers only.
The dollar weakened, longer-maturity U.S. debt gained and U.S. stocks hit record highs after traders interpreted the minutes from the last Federal Reserve meeting as slightly dovish even though policy makers are expected to raise rates again this year.
“What came out today has kind of been the narrative since Yellen -- the narrative being that there’s going to be a rate hike in December -- but at the same time there’s increasing concern about inflation,” said Jim Paulsen, chief investment strategist at Leuthold Group LLC. “Well Yellen sort of laid out both of those in her testimony.”