US stock market: Dovish Fed officials boost Wall Street as bond yields retreat
economictimes.indiatimes.comWall Street indexes closed higher on Tuesday, to notch their third straight day of gains, after dovish comments from U.S. Federal Reserve officials pushed Treasury yields lower as investors cautiously monitored developments in the Middle East.
Following comments from top Fed officials on Monday, Atlanta Fed President Raphael Bostic said the U.S.
central bank does not need to raise interest rates any further, and that he sees no recession ahead.
The 10-year Treasury yield came off its 16-year peak on Tuesday, and was tracking for its steepest single-day drop since August, as trading resumed in the U.S. bond market which had been closed for a holiday on Monday.
Israeli air strikes attacked Gaza on Tuesday, razing entire districts in the densely populated and impoverished enclave, filling morgues with Palestinians, including women and children, as it took «revenge» for a deadly weekend of Hamas attacks that triggered some of the worst blood-letting in 75 years.
«Everybody has one eye on the Middle East conflict and one eye on what's happening with bond yields.
