Treasury prices rose, pulling yields lower, on Thursday trading after investors judged the latest remarks by Federal Reserve Chairman Jerome Powell as dovish.
Powell in a speech in front of the Economic Club of New York on Wednesday said interest rates sat “just below” the range of estimates for the neutral level, the point where interest rates neither speed nor slow down the economy, a far cry from his remarks two months ago that the central bank remained well away from the neutral rate. Investors seized his comments as a signal that the Fed may pause its hiking schedule or cut the number of planned rate increases next year after the December meeting.
