Stocks extended their rally for a second day on Wall Street, with the Dow Jones Industrial Average jumping more than 300 points in the final hour of trading. Investors are anticipating Federal Reserve Chair Jerome Powell’s Jackson Hole, Wyoming speech Friday morning. On Thursday, St. Louis Fed President James Bullard said in an interview with CNBC’s Steve Liesman that inflation may remain "higher for longer."
“I mean with an eight handle on CPI, I think we’d be happy now to get going in the right direction. There will be a debate at some point about how long do you want to linger above 2%, and what do you have to do to get it down and actually hit the target. And I think that's an important debate, but that’s out there in the future,” Bullard told Liesman at Jackson Hole. ″[Right now], it’s getting and moving in the right direction. Let’s get it toward 2%,” he said. |
Meanwhile, Pimco's Tony Crescenzi said on CNBC's "Closing Bell" that the central bank will need to take a more aggressive stance on interest rate hikes if inflation is to go down.
SoFi’s Liz Young said she doesn’t expect any surprises out of Powell's Jackson Hole speech, such as a central bank pivot toward dovishness, or anything “materially different" from what was disclosed in the last release of Fed minutes. |
