| schema:articleBody
| - Stock markets mostly extended losses Friday after US Federal Reserve boss Jerome Powell failed to soothe fears of a surge in inflation which many warn could force the US central bank to hike interest rates earlier than previously thought. That prospect pushed the dollar to three-month highs versus the euro on Friday even as it undermined shares. Oil prices also struck fresh 14-month peaks above $68 per barrel following Thursday's surprise decision by OPEC and its major allies to maintain output cuts until April. "The surge in oil prices... will have done little to stem the mounting alarm over rising prices," noted AJ Bell investment director Russ Mould. "We might be in a situation where the market is hoping for a weak US jobs number later (Friday) as this would help make the case for a loose monetary policy to be retained and perhaps (also) calm fears of the world's largest economy overheating." China, the world's second largest economy, said Friday it is targeting growth of more than six percent this year despite the impact of the coronavirus pandemic. Powell on Thursday reiterated that the Fed would not tighten policy until its goals of full employment and consistent inflation had been met -- and that was likely to be some time away. As the economy recovers, he said, "you could see prices moving up" but those increases are likely to be transient "and (there) is a difference between a one-time surge in prices and ongoing inflation." Traders were also left disappointed that Powell did not indicate he would act to ease the recent rise in bond yields. The yield on benchmark 10-year US Treasuries spiked back above 1.5 percent to a one-year high after his comments. Yields rise as bond prices fall -- and investors are rushing out of them as inflation would eat into their returns. "The market was seemingly looking for Powell to push back harder on the recent increase in yields," said National Australia Bank's Ray Attrill. While the rollout of coronavirus vaccines, slowing infections, easing of lockdowns and an imminent new US stimulus are breathing life back into economies, investors are increasingly worried that ultra-loose monetary policies -- a key pillar of a year-long equity surge -- will be wound down if inflation spikes. This has led to a sharp sell-off across world markets with the tech-rich Nasdaq on Thursday almost sinking into correction territory -- an accumulated 10 percent drop from recent highs -- after touching a record high last month. US markets extended the week's losses, with the Nasdaq down more than two percent -- tech firms being more sensitive to higher interest rates -- while the Dow and S&P 500 dropped more than one percent. The selling pressure continued into Asia and much of Europe, although bargain-buying at the end of another volatile week pared the morning's deep losses. London even rose approaching the half-way mark, climbing around half-a-percent thanks to solid gains for heavyweight oil majors BP and Shell. London - FTSE 100: UP 0.4 percent at 6,674.47 points Frankfurt - DAX 30: DOWN 0.5 percent at 13,979.87 Paris - CAC 40: DOWN 0.3 percent at 5,813.86 EURO STOXX 50: DOWN 0.3 percent at 3,693.12 Tokyo - Nikkei 225: DOWN 0.2 percent at 28,864.32 (close) Hong Kong - Hang Seng: DOWN 0.5 percent at 29,098.29 (close) Shanghai - Composite: FLAT at 3,501.99 (close) New York - Dow: DOWN 1.1 percent at 30,924.14 (close Thursday) Euro/dollar: DOWN at $1.1925 from $1.1967 at 2200 GMT Pound/dollar: DOWN at $1.3799 from $1.3894 Euro/pound: UP at 86.41 pence from 86.12 pence Dollar/yen: UP at 108.51 yen from 107.95 yen Brent North Sea crude: UP 2.8 percent at $68.58 per barrel West Texas Intermediate: UP 2.5 percent at $65.45 per barrel dan-bcp/rfj/bmm
|
![[RDF Data]](/fct/images/sw-rdf-blue.png)
![[cxml]](/fct/images/cxml_doc.png)
![[csv]](/fct/images/csv_doc.png)
![[text]](/fct/images/ntriples_doc.png)
![[turtle]](/fct/images/n3turtle_doc.png)
![[ld+json]](/fct/images/jsonld_doc.png)
![[rdf+json]](/fct/images/json_doc.png)
![[rdf+xml]](/fct/images/xml_doc.png)
![[atom+xml]](/fct/images/atom_doc.png)
![[html]](/fct/images/html_doc.png)